re: Diving Deeper on Origin Materials?

Yeah if the economics for licensed plants are similar to the economics for the new O2 plant released yesterday, then it’s only a 17.5% ROIC. Most licensing deals have a hurdle rate on the ROIC at about 15%, so that’s not much room for profit. I don’t care about products like FDCA being higher margin (on revenues), the bigger issue is earning margin on capex $. Still digesting yesterday and still shocked.

Thinking about doubling my position here (in terms of $ invested), then selling that doubled position at a 2X in the ~$3 range in a few months, then moving on and trying to forget that I ever heard about this stock.