Post by
templetooth2 on Aug 14, 2020 8:52pm
Sad Reflection
I would have composed this message a little earlier, but was tied up with more important things.
I think it was yesterday that an observant follower pointed out Taylor Dart's article re Argonaut on SeekingAlpha. In very short order, negative comments followed. Actually, beyond negative. Slanderous would be a more appropriate description of some of the comments on this forum.
I believe there are three fairly regular commentators on SeekingAlpha who cover the small to intermediate cap gold stocks: "Fun Trading", Peter Arenas and Taylor Dart. Any fair-minded reader would require no more than 4 nanoseconds to judge the relative merit of those writers and reward Taylor Dart the gold star. It isn't even close, the comparison between him and the also-rans. Having sung his praises, I should also say that I sometimes disagree with his conclusions. In the current situation, I don't agree that one should look to or limit oneself to the low cost producers/developers. That's a valid strategy if one is expecting a bear market. I would argue that one third or half way thru a bull market, wherever we are, one should definitely be looking up the cost curve. It's very true that Argonaut is not built for a world where gold fetches $1200 - $1400 per ounce. This has been amply demonstrated. Further to this point, I strongly believe the executive delinquents at Alio would have found a way to steer themselves into the ditch at any price.
I have previously ventured that Argonaut management is from Planet Disappointment. It will be an alien experience for them to hit or even slightly exceed guidance. I have publicly called on them to under-promise and over-deliver, an elementary strategy that works wonders for shareholders but seemingly, hugely difficult to implement.
Anyway, back to Taylor. I firmly believe that when one encounters a well-thought-out argument that runs counter to your own investment belief or bias, you should pay attention. Many's the times in my investment career I wish I had heard the other side of the story. Should you be so lucky as to read a real shortseller's viewpoint on your favourite stock, you should thank him for the info as you won't likely be seeing anything so valuable for the next decade or so. So when Taylor Dart, unbiased yet consistent observer tells you that this frog has some warts, he should be thanked. Not accused of being a paid shill in league with evil shortsellers.
I personally have high hopes for Argonaut. I think they've made more progress in the last 5 months than they've accomplished in the previous five years. But I've only been a shareholder since about the time the Alio deal was announced. Having previously been duped, hoodwinked and defrauded by the scum at Alio, I saw this as an opportunity to recoup some painful losses. so far, mission accomplished! This is going to be an interesting ride. You can be sure I will take the opportunity to tout Argonaut's strengths when I see them, but I won't be blind to valid and accurate criticism either.
When a different view is presented and the reaction is name-calling and unfounded allegations, I think we've all learned in the last few years we should properly call an orange, orange. No?