PTM warrants
The PTM warrants (PTM.WT.U) make an interesting speculation. Strike price 1.70 USD (2.30 CAD), 10 warrants for one share, expiry Nov 15, 2019. Currently trading at .02 USD (.023 CAD). March 1 trading volume jumped to 1.3M, Canaccord being the major broker involved. At .02, and share price at 2.18 CAD, a 20% increase in share price implies an 18% increase in warrant price, assuming no time value. After that, it gets interesting. A 30% increase in shares implies a 125% increase in warrant price, 50% for shares gives 290% warrant gain. Any remaining time value woud increase those gains, also making even a 20% share increase worth considering the warrants.
Please don't take my comments as advice to buy warrants, but for anyone with a bit of warrant experience, I think this one is worth a look. The timeline is pretty short, expiry being just over 8 months away, but with definitive feasibility study coming out very soon, there may be a good increase in share price over the next several months. But of course, you could lose the entire investment if share price drops or goes nowhere.
Risk vs reward - which one outweighs the other? I went with reward, and bought 100K warrants at .02 USD on March 1, along with Canaccord clients. I'll sell half at .04 USD if it gets there, and keep the rest for a while more if the outlook is positive. If I'm wrong, I'll cry.