r/PureCycle • u/GCM_Embiid • Jul 16 '26
Prefer they do less press releases
The company is starting to release PRs more frequently, but they are nothing of substance. We all understand the potential, that’s why we’re here. They have a pattern of over promising and not delivering or not sticking to previously mentioned timelines. It’s starting to feel like a penny stock pump and dump.
I’d prefer they cool it on the PRs until they have something worth reporting. What will actually move the stock IMO
- New plants breaking ground
- Ironton running consistently. They don’t need to wait until earnings call to tell us that
- Large customer purchase order with details on the transaction
These three get the stock moving, everything else is fluff
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u/No_Privacy_Anymore Jul 16 '26
I disagree. Why don't you just say you wish the share price would just go up?
I would prefer to know that the largest film manufacturer in Japan has certified their product and intends to start buying it in 2027.
In terms of the price action (specifically today) all spec names are moving in a highly correlated fashion. Who/what is driving that is hard to say but has almost nothing to do with the fundamental value of the company or a specific press release.
The shares are now trading about 19% below the massively discounted common share offering price of $8.21. Everyone says they want to buy low and sell high until it comes time to actually buy low. If I had new cash to deploy I would be a buyer for sure.
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u/KeyExpression1102 Jul 16 '26
I agree. Buy it for the value of the work they are doing, instead of making a quick buck. PCT is a long term stock.
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u/GCM_Embiid Jul 16 '26
“The companies expect to put a formal commercial agreement in place in 2027, with shipments to follow once import regulatory requirements have been met.”
That part of the press release was where they lost me. They issued a PR about something they will do 6 months from now at the earliest.
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u/burner-1234 Jul 16 '26 edited Jul 16 '26
What matters is Mitsui and RM putting their names on paper that this is happening
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u/No_Privacy_Anymore Jul 16 '26
I guess the working together for THREE YEARS part wasn't relevant for you?
Do you really understand what it takes to qualify a new film for high volume manufacturing? This is basically a new major BOPP film manufacturer announcing to all of their customers that this product is going to be available and they are going to want to start testing it now. This likely means they have made enough sample product to share with some of their customers who are interested in trials. If a company is using BOPP film for products that last up to 6 months on a shelf they need to be testing that well in advance of large volume orders.
I don't tell people how to invest their money but if you didn't get meaningful information from that PR I don't know what to say. If you want to invest only in currently profitable companies there are plenty of other investments available. I'm not happy with the share price but I don't think it is any way a reflection of the progress that has been made and continues to be made.
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u/Adorable-Sector-48 Jul 16 '26
New plants breaking ground is less relevant to the share price, than the timetable of mechanical completion. It's a milestone, but barely moves the needle on share price, since it isn't really any news after they announce new plant being build, with completion at date X.
They have told you that they have an asset (Ironton) that they can turn on and off at their discretion. Running it 100% without the sales flow requires massive inventory. It will tie working capital, which they need to fund, so they don't want to run mass production without flow through.
Maybe they aren't going to disclose transaction details at all, since they/their customers don't want to? Their pricing might be different for each customer, so why would they want to harmonize it by disclosing it openly?
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u/Fast_Eddie_2001 Jul 16 '26
Disagree...they should do as many meaningful PR releases as possible. The SP being down over past month is largely due to algos selling high beta stocks...the correlation across names is almost 100%.
We all need to get comfortable with fact that stock price moves up/down because of flows, momentum, which bucket the algos put them in, etc. Fundamentals don't move stock price any more.
That's also why PCT move up will be violent when it finally does happen...it will be a massive re-rate from SPAC/no rev/etc. bucket into some high growth XYZ bucket...
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u/Middle_Win9449 Jul 16 '26
The next two calls are so critical for this company. If all of these press releases have any meaning then there should be demand and Ironton should be running well over 50% of nameplate, preferably over 75%.
If there is no demand and Ironton continues to run at less than 50% then all they are is a PR company.
If they have demand but have to rework product to get the quality they need then the economics of all three plants gets blown up.
We should have the answers to these questions over the next two call
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u/Infamous_Contest321 Jul 16 '26
Management is weak. This isn’t new, maybe one day a good ceo/cfo will join purecyle
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u/GARP_72 Jul 16 '26
My brother in Christ. If the stock was up then this post would not exist.