Seeking Alpha
  • J*H*M
    Will $TSLA and $PPO partner in GF? http://bit.ly/1nUjO36
    5/15/14
    Reply (17)
    • TradesRuS1986: Doubt it
      5/15/14
    • 1980XLS: HaHa, told you about $PPO months ago. To make omelets, one needs eggs.
      5/15/14
    • 1980XLS: HaHa, told you about $PPO months ago. To make omelets, one needs eggs.
      5/15/14
    • J*H*M: I was thinking about you, 1980, when saw this.
      5/15/14
    • stockahead: Thanks J*H*M. interesting to see how PPO exploded after ER.
      5/16/14
    • J*H*M: Yeah, not sure I'd buy PPO at these higher prices. It is heavily shorted. Unless a major announcement comes soon, the price should pull back
      5/16/14
    • J*H*M: Notice GF could be worth around $600M in annual sales for PPO. At about $2B market cap, I wonder if Tesla should acquire PPO. Build the moat
      5/16/14
    • 1980XLS: $PPO ceramic coated separators are proprietary tech & IP. If Tesla specifies such high performance material. $PPO will benefit big.
      5/16/14
    • 1980XLS: All batteries, not just lithium use separators. Battery sizes and quantities are in increasing in all cars with Stop/start, mild Hybrid, etc
      5/16/14
    • J*H*M: I also wonder if Tesla insiders who recently sold TSLA bought PPO and other potential partners. Nice 35% gain if they did.
      5/16/14
    • 1980XLS: Most Cap-ex for capacity growth for $PPO has already occurred. They are very levered to any increase in aggregate demand.
      5/16/14
    • 1980XLS: Risk is cheap, foreign competition for lower spec/quality material.
      5/16/14
    • 1980XLS: $PPO could also be broken up with spin-offs of Celgard division to companies like $JCI and or $TSLA
      5/16/14
    • J*H*M: 1980, thanks for the info. What do you think is a good price to buy PPO?
      5/16/14
    • 1980XLS: If I could get shrs in the $39 range, I would.
      5/16/14
    • 1980XLS: Selling some Sept $37.50 naked puts may be a good way to get involved here, IMO
      5/16/14
    • J*H*M: Thanks! Best of luck.
      5/16/14