RE:Advisoryfrank1971 -
Sir, you are absolutely correct. Eastmain Resources is IMHO going to be one of the big (pleasant) surprises of 2018. It will surprise substantially to the upside.
What we have here is a situation of impatience in more and more "investors" who are really fast buck artists and used to having or at least anticipating large returns over a short period of time, rather like a "Big Mac" in five minutes (or less). Well, it ain't gonna happen and anyone who expects to experience success in this economic sector is well advised to review the past hundred years or so to see how it has worked. Absent the degree of manipulation nowadays, it really is the same sort of market dynamics we are witnessing. However, now we have interjected into the mix those who have come to expect virtually instant returns.
This ludicrous attitude and outlook are magnified by the "financial advisor class" who are similarly inclined towards instant gratification and reinforce this destructive and unrealistic perspective among their "clients," er, I mean dupes. "Day-trading Nirvana." Please don't misunderstand me. I am not referring in this comment to honest, knowledgeable, moral individuals who have done their homework and honestly endeavor to properly and fairly advise those seeking advice. Such certainly exist. No, I am referring to those who truly fit the age-old definition of "broker." They become prosperous as your personal financial status becomes "broker!"
Well, the PM sector has never worked this way (instant gratification) save for the odd aberration where someone stumbles upon great wealth absent the requisite blood, sweat and tears necessary to uncover it.
Eastmain holds great promise and they are a company which I believe can and will deliver the goods in time. Their gold in the ground is ridiculously cheap just above the per ounce cost of MGM which, I believe, is at $12 the ounce. I believe ER is at $40 or so, which are the most recent figures I have seen. Literally, as cheap as dirt. So, you are indeed spot on when you comment, I believe accurately, upon the literal giveaway prices these ER shares are selling at and of course the bullion they represent. Their properties are literally in some of the most prospective gold-mining jurisdictions in the world.
This is yet another company with an extremely high value quotient. At the present price in Canadian CENTS at which the shares are selling, the ask is greatly advantageous and greatly favors the making of significant coin. This is precisely what the "value investor" ahould be seeking. A low ask greatly increases leverage and thefore potential profit. This is where and how fortunes are made, not with major producers such as Goldcorpse, Barrick and the like. Of course, as the POG rises, dividends should also and this adds a modicum of attractiveness to the "seniors." You certainly must know thyself including things such as risk tolerance, the quality of management, the characteristics of the deposit, the geopolitical situation and a host of other factors.
But for my buck, I will take the well-run, highly prospective junior gold explorer every time, particularly when in advantageous locales such as eastern ON and western QC and in areas with long and storied histories of successful exploration and production. Very hard to beat and the local folks are top-notch.
Patience and leverage are a tough combination to beat, especially when accompanied by the other critical factors.
GLTA