starsearcher40 wrote: As I've said before, I don't mind an intelligent discussion, but I do truly dislike people (ok it's you Calgary and your alter egos) that just try and spread cra*p. So let's take a look at this cra*p, and debunk it for what it is.
1) Dilution. Sure, no one likes it, especially those who bought in higher. But the fact of the matter is that they now have the money in hand to fully build the mine. The fact of the matter is, they are already in the building process.
2) Calgary would have you believe that there are just too many shares out now. Not so.
a) There are plenty of examples of companies with a larger float. How about Bombardier at 2.1 BILLION shares. Well, that stock sure has had an incredible run over the last 6 months, from a low of $2.80's up to the current 5:30's. But how can that be? Aren't there TOO many shares? You want mining examples? How about IVN, with 791Million share float. That stock moves up and down all over the place with the float making little difference.
b) Calgary would also have you believe that these shares are somehow liquid. Again, simply not true. The deep pockets buying into the financing aren't here flipping pennies. The shares they have would be as secure as it can get, with their time horizon measured in years, not minutes. Yes, one day these shares will enter the "liquid float". But that will be long long after the big money has been made and they eventually sell at a huge profit.
c) Then there's the institutional private placement of $80million. Those shares are locked up for 4 months, so are off the table. But even that is irrelevant because again, they're not in for the short term here.
3) Trump and tariffs. This one is just plain grasping at straws and completely irrelevant. But it's a newsworthy topic at the moment, so why not try and exploit it. Again, as it applies to NMX, it's irrelevant.
4) Trump/tariffs/recession. Again, currently newsworthy, but not particularly relevant. I think it could be relevant if NMX didn't already have money in the bank, but that is not the case. If anything, I think a recession could actually be in NMX's favour overall, as it puts pressure on competitors who might like to finance but have trouble getting it in a more restrictive environment.
5) Clowns. It's just far too easy on Stockhouse to create other fake identities. The latest on now is Panama, mouthing off that the stock is in freefall. Yep, his very first post. Thanks for coming out Panama. ;)
6) All of these clowns would have you think everyone is running for cover. Again, simply not the case. There is strong and steady buying via multiple brokerages. Here's a snapshot of the last 8 days of trading. I've highlighted the
NET buying positions for this 8 day period. As you can see, some large positions continue to be taken.
| House Positions for C:NMX from 20180611 to 20180621 |
| 2 RBC | 6,277,860 | 5,822,230 | 0.927 | 2,076,408 | 1,922,728 | 0.926 | 4,201,452 | -3,899,502 |
| 7 TD Sec | 6,839,944 | 6,410,702 | 0.937 | 3,368,746 | 3,146,127 | 0.934 | 3,471,198 | -3,264,575 |
| 19 Desjardins | 4,208,635 | 3,881,939 | 0.922 | 1,693,512 | 1,547,334 | 0.914 | 2,515,123 | -2,334,605 |
| 80 National Bank | 5,894,174 | 5,508,590 | 0.935 | 4,104,052 | 3,773,164 | 0.919 | 1,790,122 | -1,735,426 |
| 39 Merrill Lynch | 1,814,567 | 1,623,732 | 0.895 | 72,340 | 66,114 | 0.914 | 1,742,227 | -1,557,618 |
| 9 BMO Nesbitt | 2,674,994 | 2,490,182 | 0.931 | 1,107,910 | 1,027,599 | 0.928 | 1,567,084 | -1,462,583 |
| 65 Goldman | 871,823 | 810,188 | 0.929 | 323,534 | 287,858 | 0.89 | 548,289 | -522,330 |
Now, at the same time, it IS worth looking for reasons for the current drop. It is there, and it is real. The most likely scenario is that there is some fund who bought in a lot higher deciding to unwind. This isn't a particularly bright move. If they bought in higher, you think they would really like the stock at these prices and be buying more. But funds are run by people and people get pissy. If they got caught on the wrong side of the financing, and now have a big loss showing on the books, they're not happy. And they are EXTRA not happy to have that show in the coming quarterly and/or semi-annual report, the report set for the period ending next Friday. So they want it off the books.. It's called window-dressing, and it happens all the time. And for the most part, when this happens they don't really care. Typically, it's a very small portion of their fund. But it can and does make a difference, temporarily, to the individual stock as they unwind.
So if this is the case, when will this end. Given the date, and that there are only 7 trading days left in the quarter/half, I would say soon. No, they don't have to wait to the last day of the quarter either. Typically, this phenomenon ends in advance.
Other than the above, I really don't see any other valid reason for the decline. No, it's not fun. But this is when people need to stand back and see it for what it is. Imho, the opportunity to buy ridiculously cheap is there, for now. Not for long, but for now.