RE:RE:RE:Most Confusing Stock stakhouse wrote: Hey Barry,
I agree with your comment. I am quite confused and I am not sure as to where this is honestly going. But it would seem as we all need to remain paitent? Which ok, but I follow him on ceo and twitter and I can see he see's other companies increasing in Stock price. But can't seem to understand why he doesn't want to be part of that group? Then again is it in his control? So it is all just guessing in my opinion.
It's disappointing the stock hasn't done anything in 2 years but the intrinsic value of the business has increased significantly as we know have a mine with cash flow and the high likelihood of doubling production by 2023. The price simply reflects on the supply and demand of the shares.
The FCF will come pouring in regardless of where the stock is. Eventually that will be used for buybacks or dividends. That will lead to a rerating at some point.
I think it's nuts to think Akiba doesn't want the share price higher. He owns a ton of it and the higher the stock price, the lower MKO's cost of capital would be which would give Akiba a better currency to do deals. He doesn't control other people's buy decisions. He has bought stock himself and authorized an NCIB. He's making it very clear he thinks the stock is cheap.
There are lots of catalysts ahead that might attract new buyers like Q3 results, Q4 results, exploration results, share consolidation, uplist to TSX. The sellers are mainly people who invest based on the stock price and not on the fundamentals. Hopefully whatever they switch into does well but it likely doesn't have the risk/reward characteristics of MKO.