RE:If you like the prospects of zinc -- CZX is so undervaluedI re-read ilikezn's post. Makes an excellent case for buying CZX right now and show just how deeply undervalued it is. I continue to add to my position...
ilikezn wrote :
I own just a few junior zinc stories. Arizona Mining and CZX are the top 2. On a peer to peer comparison, CZX should be trading at $1.00 to $1.50 -- today. CZX is an incredible buy at current price. A post I made on the AZ board a few weeks ago :
I am a big zinc bull...I think zinc is going to outperform all base metals for the next 4 to 5 years. I own a decent portfolio of zinc companies - mostly senior companies, and only a few juniors (as there are only a few quality ones and most are not going to amount to anything). I own about $20,000 (45,000 shares) of AZ at about $0.45. It's had a great run since March - now well surpassing the $1.10 target price that RBC Capital Markets gave it when coverage was initiated last month. I do think it has now gotten ahead of itself...the market cap now being around $350 million (225 million shares issued).
Another really good project is held by Canada Zinc Metals Corp (TSX.V : CZX). Huge deposit in British Columbia (where Teck has a Zn/Pb smelter) - almost 30 million tonnes of around 10% Zn+Pb, with some silver (a majority of that resource is in the 43-101 Indicated category - so high confidence in the numbers). That's about $6 billion in the ground value. The company has about $7 million in the treasury. Shareholders in the company include Teck Resources, Korea Zinc, Tongling Nonferrous Metals (state-owned Chinese company). The market capitalization of the company is only $25 million (152 million shares issued).
So on a relative basis...CZX offers much more upside at the current price. I've got about $50,000 (400,000 shares) in CZX.
Both AZ and CZX are good zinc plays. Probably the top 2 projects held by zinc juniors.