Tara Minerals Corp TARM

TRGD vs. TARM

[canada7]

Which is better? TRGD or TARM.

I think TARM is the real value and stock to own.

Why?

1) Most TRGD value comes from TARM as TRGD is the holding company. Market usually gives the holding company the discount.

2) Not convinced that TARM's income will be directly reflected in TRGD's book. It will be good if this is true, however, even if this is true, market will discount on the holding company a lot.  A pair of US public coal companies have similar structures, as one is a holding company of the other, and the market gives quite a discount on the holding company. Market usually do not double count value, and thus give the real company value. 

Also, people have some reservation about the original TRGD business model as many of partners did not deliver and cost TRGD a lot of money and effort.