2008-09 Coal Headlines There were similar doom and gloom headlines in 2008-09 , we all know what happened afterwards. It is not that hard to spread fear in the market when you have the right tools. Big players have all the tools to do that, mainly the media. Small investors who play into their hands and sell their stock at dirt cheap prices are the reason they will repeat the cycle over and over again.
If Cline was one of the very few companies that had taken a beating in its SP over the last year then all the negativity would be warranted, but people need to look around and see that no other coal company has been immune. At the end patience will pay off, if you have the guts you will average down but don't be an investor if you can't handle losses! Both GCE and WTN were trashed badly not that long ago , and we all know where they ended up. Coal will be in favor again by end of this year and SP will appreciate. Until then Cline needs to save as much cash as they can which they seem to be doing...
If your outlook is longer than a year then you will do fine. Europe will start printing more money and QE3 will be coming as well and we all know what that will do to the price of commodities. Last time I checked World's populations was not decreasing but increasing with China in lead. Now is the time to buy quality companies like Teck. Companies like Cline will eventually benefit greatly as well.