RE:RE:Valuation JoeStockIQ wrote: dfwrgk wrote: Can anyone who understands the current numbers enlighten those of us a bit less knowledgeable?
I had quite a few shares in this company several years prior to the FIrst Nations issue with the lake potential destruction building New Prosperity.
After years of waiting for that premier gold mine to get approval, I rode it down below 50 cents U.S. through the court decision and also Taseko's failed attempt to appease FN with an alternate-lake plan.
With a solid and functional Gibraltar mine and the potential for 2 additional mines in the near future. And the outlook for copper and the "Green Electric Revolution" over the next 10 years, I'm confused why this stock still remains a dollar plus... basically it's been regarded as a penny stock for more than ten years.
What are the real issues holding it down?
Debt? Manipulation? It would seem with the coming cash flows, the debt will be eliminated in the near future... and I think the company indicated that... no further share dilution should be necessary... perhaps even reduced eventually.
I don't think the market gives any value to the ongoing discussions with FN about a New Proserity resolution and how huge that could be if a deal were made.
But even without that, this company has been depressed too long and is not a penny stock, in my opinion. If anything, it's a buyout prospect with huge growth in its future.
I'm interested in hearing what I'm missing... or opinions. Thanks
We don't think the current situation is that hard to comprehend. Is the stock being manipulated? We think it is. How? A very few players that control roughly 20M shares in aggregate are using their influence to keep the share price in a somewhat controlled range. How are they able to carry this out? First, they are able to use a failed history of management mistakes that keeps overall street sentiment continually in the "show me" stage. Next, since there aren't many (Non-Insider) major shareholders (Institutions / Hedge Funds, etc.) with 2+ M share holdings to actively trade, the few that do have substantial shares (5 or so entities with 2+ M shares) can keep the share price somewhat capped until a major event occurs that brings in new investors. What is the major event? Obviously, Florence. Our point here? Once the Florence news breaks of an approved final permit, the dam bursts for good and the Taseko story finally happens. At that point, their current control is over.
Once the permit happens, then it will be show me you can get through the public comment period. When that happens, it will be show me the final permit. When that happens, it will be show me you can actually get the mine built. When that happens, it will be show me that you can get the production you say you can. When that happens it will be show me you can keep it all going without having the whole thing blow up.
No getting away from the show me people for now. It is going to take a completely new influx of buyers to develop real optimism. For now, it is the show me's.