RE:RE:SSO vs FR
Hey proud italian, thanks for chiming in.. That is what I initially thought but math just doesnt add up. To make it very simple and compare their market caps relative to their pure silver production is where this explaination doesnt hold water for me.
FR produced 2.8 million oz ag versus SSOs 2.5 million last quarter (90% of FRs production) yet when I wrote that post SSOs mkt cap was roughly 65-70% of FRs.
Now if you consider that rest of SSOs revenue is strictly from gold and FRs split between gold and base metals you would think that SSOs exposure to strictly PMs would be reflected in the market value to an extent.
Another thing is that the market has completely shoved aside Pitarrillas mine that will put SSO into a completely different realm once ag moves north of 25$. My final point would be to compare big boys like CDE and HL and their silver production versus FRs (AGs) and their market caps and you will come to find out FRs value is based on some irrational market calculations.
This is why I agree with CH and I think once Chincillas project is taken over and under are control SSO will move much higher and ahead of FR, and I see more FRs shareholders swapping those shares for SSOs or HLs.
Best regards and best of luck to all...
ss