Int'l Speculator refreshes Fortuna Silver buy 2012-07-24 18:50 ET - In the News The International Speculator, in its July 6, 2012, issue, refreshes its buy of Fortuna Silver Mines Inc. at $3.48, officially, "Best buy." The newsletter said buy 10 times between March 1, 2006, and Jan. 3, 2011, at prices ranging from 68 cents to $4.33. It then said sell some -- perhaps half -- on March 4, 2011, at $5.35. Assuming a $1,000 investment for each buy, selling half the $10,000 investment at $5.35 yielded a profit of $9,911. It then said buy again on Sept. 5, 2011, at $5.77, and on April 5, 2012, at $4.59. Assuming another two investments of $1,000 each, and taking into consideration the $5,000 investment left after the March 4, 2011, half sell, the total $7,000 holding is worth $11,049. The Speculator's writer scans the press releases and cannot see any company-specific bad news. He notes, however, that Fortuna continues to suffer from market displeasure after its steep drop in March sparked by an unexpected fourth-quarter loss. He understands the market reaction, but figures the sell-off was overdone. With growth on the way, thanks in part to increasing production at the San Jose mine in Mexico, the writer thinks now is the time to buy or average down. |