RE: RE: RE: RE: RE: RE: RE: RE: And the beat goes@ Geospot:
I agree - there is no sense in trying to rationalize the stock's performance as of late, from a "logical" perspective. It is, as they say, what it is. It's probably the culmination of overall fear and "market sentiment," coupled with the more tangible realities of margin calls and the need for liquidity which drove some investors (willingly or otherwise) to sell in haste. (And by the way - for any rookie investors out there, NEVER buy or sell anything "at the market." Name your price, and stick to it. Otherwise, one stink bid can sink the price in seconds and if your ask is "market price," you'll get railed. The converse is true, if you're trying to buy something - you never know what rookie is on the other end of the trade, so having a stink bid in may pleasantly surprise you!)
The fact remains that the news that has come out is good - very good. There is no disputing that (sorry, Zip - but the news was good). What is left to be seen is if and when the market will appreciate the news and place a value in this company greater than it currently does. I agree with you that "buyers are confused" but would also add that not only do they not buy with conviction when they are confused, I say they don't buy at all. A confused buyer typically takes a wait and see approach and sits on the sidelines; it gives the investor time to calm down, do some research, see what the so-called "experts" are saying, watch what others are doing, etc. These confused buyers only seem to be reassured when the stock starts to take off. Then, they figure "it must be a good stock" and they "need" to have it because other, "more intelligent" people than they are buying it.
I personally maintain that it is times such as this when we should be adding to our position. We are not confused. We know what we have. We need to capitalize on the fear and confusion of others. As the smart money says, "buy when there is blood on the streets - even when its your own." It's really the only way to make money, because you buy stocks at deep discounts and/or can average down.
As for your comments regarding insiders, they know bloody well what is in the ground and what it is worth. Sheldon has been buying at all levels - from the mid $3's, down to the low $2's. These people are not only more informed than we are in terms of behind the scenes activity and privy to high level discussions, they also have their crown jewels on the line in terms of their reputation (as well as an incredibly large vested interest vis-a-vis their large investments). A few days ago, I posted an article about his CEO compensation for 2010 - a cool $30+ million dollars. I doubt he'll be facing a margin call any time soon, so I wouldn't worry about him being "highly leveraged" as was stated by another poster on the board. And even if he is, I am sure his brokerage will cut him some slack - for some reason, rich people seem to get more favourable treatment than us peasant folk.
Back to the meat and potatoes on GCU: more results are on the way regarding our deep drilling activity. There is no reason to believe the news won't be good. Therefore, if you believe in this company, its management, and the direction of gold (especially relative to the ever disintegrating fiat currencies), add to your positions. This is not intended to be a "pump;" it is, instead, intended to be genuine advice on how to make a great return on your money in the months and years ahead, in my humble opinion of course.
Have a great day, everyone, and as always, LONG LIVE THE GCU LONGS!
Barisian