Which one would I buy now....The question: which would I buy now, ELD or HRG, if all in on one only?
With the following qualifications, involving time, risk, and amount invested.
I would not invest in just one, as I like them both. Own both. Increasing my positions in HRG at this time. Holding my positions in Eldorado at todays prices.
What I expect: not much too soon from HRG, maybe more selling, maybe not, but it is cheap in any case at this time. Has pulled back over 33% and usually it pulls back between 25% and 45%. If that means anything. I look more to market cap, proven reserves, potential to grow reserves, and production now and coming on.
By all my calculations, with gold and silver staying relatively high, which I expect, but with volatility High River is a bargain.
Eldorado has moved up, probably will continue to do so, with less volatility, but with some. It may get taken over sooner than HIgh River, but both are targets.imo
Eldorado has a cap of 2.5 Billion plus, while High River is at about 615 million. HIgh River has potential, imo, to have a cap of 1.3-1.5 Billion within a year imo. Eldorado: maybe 3.5 Billion on a buy out?
I am looking therefore favorably at High River at this time. Although like I said I own them both.
But remember: risk. High for both, but higher at High River because of uncertainty surrounding Silver project and some other stuff.
I like to buy the companies I follow, on sale. High River is on sale, Eldorado is hot. So I am going to watch Eldorado, and sell some if it spikes up short term, and buy even more High River. That is how I see it.