take a break but don't give it away
I don’t want to say too much since we are all entity of our own opinions and obviously the morale is very low, however I will leave you with this, do you truly think that BFD isn’t a better company today than they were before? (1 to 2 years ago). I am not only talking about management which I would agree with most here has not earned our respect yet, but they are better capitalized than before, the deposits at the Windfall and Caribou area are way larger than first anticipated and finally we still haven’t got all results back from the lab yet including the ones beside Bonterra’s findings. So as much as we dislike the boar/management combination they haven’t been there for very long at all so as hesitant as I am like the rest of you, I will give them the benefit of the doubt for a couple more quarters.
So, unless you desperately need cash now, do you think it is a smart idea to bail at this price? MKR trades at $.08, does that make sense to anyone here to say that we are going to trade at the same level as them as suggested by a few people here? BTR has spent more cash and drilled far more holes than us, and outside of the big two holes in our door steps their results aren’t that great either, and guess what? they are up today (and being on the $.50 level for a while), so to expect any logic of the market is not wise.
I also want to touch on the warrant issue that was brought up, so it is true that a former BFD member exercised $2M in options at $.10, but he did so because they were vesting and he traded right the way at a profit because he hasn’t any involvement with the company anymore and want to cash out and move on. The question you should be asking though is why somebody bought the $2M shares from him at $15 with no hesitation, less than a month after he exercised his expiring warrants.
We all would love to be cashing out at $35-$45 now, but that is not the movie we are in, yes if we don’t drill deeper it is unlikely we will get the great results others did, but if we read the press release that is exactly what they said they are going to do, so again I must question how wise it is to dump shares after holding it for so long. On top of that Eleonore and Hemlo still very valuable assets so to be trading at $11-$12 is almost comical at this point. (even though I am certainly not laughing).
I have advocated for activists on this board, I have questioned and still do some of the management decisions but as hard as it is to believe I strangely feel better now that I did the first time our stock retracted heavily.. I have been talking to people outside of BFD(since they don't talk much or don't share great information anyway!!, but remember no matter what sector you are in there are some people in our business that you have to deal with it and they have the same dinners with different executivesall accross our country so they gladly talk over a glass of red wine). I think we might not have hit the bottom due to desperation and perceptions of retailers, but I have to believe that we are one to two quarters away of being back to the levels we were once OSK first came in.
Anyway, best of luck for the ones left, I got admit I should have left my money on my tech and real estate stocks which are up over 45% combined and paying dvidends, but something isn’t right here, we are totally mispriced and not all drillings and results are in, I will take my chances staying put and not putting smiles on bottom feeders faces.
If we survive Halloween maybe we will have a good Holiday!!