RE:RE:Blew past 3 bucks
Jrj asks:
"Anyone know why this stock acting so much better than other junior gold/copper stocks?"
My take on it is that we are now generating very strong upward trend in positive cash flow and increases in production look likely.
The problem before was that the market discounted us on the amount of debt and how well we could service it. We had not established production levels enough to give us a cushion.
The SP should continue to rise for a long time to get fair value if the trends in our produuction and also (commodoties in general) are consistent.
Remember, if there is inflation and pressure on interest rates to rise then that is good for a company such as this.
Our interest rates on our debt are exceptionally low compared to the market, so in such a scenario this share will out perform the markert by a considerable margin.
All IMO please DYOR.
I am in two other shares that have quite high leverage. Not entirely the same story but I expect similar results in SP rises for much the same reasons.
They are Conic Metals (TSX) and Silver Bear (TSX).