RE: This stock in ''''fundamentaly'''' challengedThe SP is not moving north because the business is still burning cash..it has no income. As soon as the cash starts flowing, then CBR
will be able to borrow money to finance its business plan. Right now their is still a danger that the company may need another private placement at bargain prices, diluting shareholders equity. With the onset of positive cash flow, the company can borrow money or issue equity at more attractive prices. As soon as the share price goes north of 1.00, institutional buyers will show more interest - right now this is still a penny stock.
Only 2 news releases will move the stock price... 1. The feasibilty study is positive. 2. Production has begun. Both of these are pending.
The downside is bad news that the JV is not financially feasible, or some delay in production startup. These risks are minimal, or at least appear to be minimal. I'm betting that these next weeks will be the last chance for informed investors to pick up shares on the cheap.
on the date of production.