I'm ConvincedAfter spending the last couple of weeks doing dd on SXL I have to say I'm ready to make my first foray into a jr. exploration stock. the regulars here present very compelling arguments. I like to invest in undervalued companies - usually cash generators, but SXL is as I said before quite compelling, and is definitely undervalued.
From what I see:
- value of Nash=800 mil; market cap=100 mil. Like hardspiker said earlier this week, taking only 5% of that = 0.40/share
- basket of properties. I'm not a geologist, but I compared grades of some of Nash's other properties with some other popular companies and I'm impressed. Again these are secondary properties for SLAM. But we have grades up to 6% zinc on other base metal properties. Values up to 8 ozs gold on their gold properties. It sounds like Reserve Creek is a promising gold deposit
- management. Impressive. Quality people with a depth of experience with major MINERS like Amax, Teck-Cominco
- insiders own a whack of shares; institutions own close to 50%; the secretary is buying?! For Silverjack results? Probably not.
- Chinese cos. snooping around
-SXL's undervaluation, but high metal prices has got to be attracting other cos. as well
- lots of news coming: more silverjack, gold drilling in Ont. and...???
- increased trading activity; is this expected for only silverjack results? Movement started weeks before results
- impending closing of mills and smelter in New Brunswick; Nash Creek is needed
Like I said, I usually don't invest in these things but I'm willing to jump in with a little play money. I've alreadt watched it shoot up from 0.04. But any price from here to 20c or so could see at least a double. I'm hoping to get in under 15c though.
That's it. Ya, I'm going to follow the herd. Hopefully I don't get trampled but I feel confident about this.