GREY:EMYSF - Post by User
Comment by
Gulo19on May 10, 2006 8:22pm
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Post# 10829926
RE: Insurance
RE: InsuranceSome of you guys are a bit wonky on this hegde loss issue. THE HEDGE HAS BEEN PUBLIC RECORD FORM DAY 1. Why the surprise? It just seems to me that too many people buy stocks without doing any DD. I was able to buy back all the stock I sold for 3.25 for 2.90 today.
The REAL disappointment, and it looks like it is just a blip, is the decrease in production in Q1, that is what surprised me. But the explanation is typical as to what is happening in the mining sector these days. These guys are trying to work full out, with likely more and more poorly trained workers - due to shortages of miners/engineers, etc. - and part of the mine was damaged forcing lower grade ore to be mined from a differnet location. Management says they will still meet annual projected Cu prodcution. I'll take their word on that for now.
The key to this play is the Zn coming on stream in Q2. As long as they don't disappoint on timing on this, SP will go up tremendously from here. Zn is really going to be the star of the base metals for 2006, not Cu, IMO.
Good investing.
PS So Crazy Cramer actually mentioned EZM ... wow that's hilarious! May be a huge profit taking opp tomorrow morning as every American rookie investor follows their heroes advice LOL!