SPDR Portfolio Short Term Treasury ETF T.SST.U

Primary Symbol: SPTS

The investment seeks to provide investment results that correspond generally to the price and yield performance of the Bloomberg Barclays 1-3 Year U. The fund invests at least 80%, of its total assets in the securities comprising the index and in securities that the Adviser determines have economic characteristics that are substantially identical to the economic characteristics of the securities that comprise the index. The index is designed to measure the performance of short term (1-3 years) public obligations of the U.S. Treasury.

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SPDR Portfolio Short Term Treasury ETF

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Post by tooclassyon Oct 28, 2008 12:36am

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Post# 15550680

Canaccord Adams: BUY Recommendation

Silverstone Resources Corp.
SST : TSX-V : C$0.47 \| C$59.5M \| Speculative Buy, C$1.40
· Leave no stone unturned; initiating coverage on an overlooked silver stream company with a SPECULATIVE BUY rating and C$1.40 target
Nicholas Campbell, 1.604.643.7027
Silverstone Resources Corp. is a pure junior silver producer with 100% of revenues generated from silver purchase agreements. Silverstone has acquired silver streams from Capstone Mining Corp. (CS : TSX : C$0.92 \| Not rated) and Lundin Mining Corporation (LUN : TSX : C$1.50 \| HOLD). These agreements give the company 100% of the silver production from Capstone's Cozamin mine in Mexico and 100% of the life-of-mine silver production from Lundin's Neves Corvo and Aljustrel mines in Portugal. We forecast silver sales of 1.9 million ounces in 2008 growing to 2.2 million ounces in 2009. We are initiating coverage on Silverstone with a SPECULATIVE BUY recommendation for the following reasons: Excellent balance sheet and consistent free cash flows: Silverstone has US$31.5 million in working capital, no debt, no capital commitments and a steady stream of free cash flow. Insulated Cost Structure: The per ounce silver price paid by Silverstone is structured at the lesser of US$3.90-US$4.00 per ounce and the prevailing silver price. Combined with the low overhead costs of a royalty corporate structure, the company should continue to generate free cash flow even at a US$5.00 silver price. Two High-Quality Silver Streams: The Neves Corvo and Cozamin mines should remain profitable even if the price of copper were to drop to US$1.50 per pound. Attractive Valuation: Silverstone is trading at 3.2x 2009E CFPS compared with an average multiple of 9.3x 2009E CFPS for a subset of royalty companies and it is trading at 0.24x our estimate of NAV (5%, long price deck), compared with an average of 0.65x NAV for junior precious metal producers. We value the shares of Silverstone based on a 0.7x multiple to our estimate of NAVPS (5%), using Canaccord Adams' commodity price deck. This gives us a 12-month target price of C$1.40 per share (rounded). We initiate coverage on the shares of Silverstone Resources with a SPECULATIVE BUY recommendation.