MacRellen wrote: rocky99 wrote: Patience for how many years ?
I hope things'll turn around when tax loss selling season is over. But who knows. Also depends upon what kind of financing they do, and when we get some more numbers on the new assets, like an NI 43-101. Maybe we will need to see some actual numbers from production and AISC on the new assets for this to really turn. But if they deliver, and manage to show production of 8-10M oz on an anual basis, the market cap will have to increase significantly. Unless silver and zinc prices tank, that is...
It's not just SCZ that tests my patience, though. My other miners don't fare much better. The whole stock market is off its hinges. Numbers don't matter to the generalist investor, only stories do. When people make money buying overvalued tech stocks and Shiba Inu etc, it cannot last. It will turn someday, and values will revert to a rational level
. But maybe we need the market to crash first, and I don't know if I wanna be in junior miners when that happens. Maybe the market can remain irrational longer than I can stay solvent (G Shilling), but for know I am staying in. I know that I am right and the market is wrong.
About a crash--my investment in SCZ and precious metals stocks was a response to inflation fears because 20% of ALL american dollars ever in existence were printed in the last 1.5 years.
Inflation is here right on schedule. But precious metals aren't cooperating. So will the market crash first? Then comes the great flight to precious metals?
In that scenario cash and physical gold and silver are the safe havens.
Then its go big in precious metal stocks after the carnage, right? Requiring a miracle of market timing.
Accidentally i pulled off that miracle. Last spring i was long 600k shares. Then i sold 350k in April because i was over exposed/under diversified. SCZ stopped being my baby.
I poured that cash into an emerging metals story which has become the TSX's #1 stock of the year. (If you're interested in that stock you can check my posting history. You'll see it. It was just luck. I accidentally got 60% out of SCZ at .49 into something that has gone up 500%.)
So will silver and gold stocks rally and lead next year like they were supposed to? On the balance i think 'yes'. Obviously there's a strong argument for being in cash. But if you are an SCZ shareholder you've missed that boat. I'm sitting tight. Long 250k shares. Why? Because i believe in inflation whether or not the broader markets tank.
So will the canadian dollars in which SCZ shares are denominated be worth anything by the time interest rates rise to kill inflation which will kill the stock market with it'?
That's how i'm framing this situation right now. Apologies. My thoughts are a labyrinth of 'maybe this' 'maybe that' will happen.
Inflation is here. That ain't gonna change. If i was in cash i'd be on the fence maybe wanting to buy at these bargain prices or maybe happy as hell to be in cash awaiting the greater bargains to come.
This is a brand new company. I wish to hell the smoke would clear from this acquisition. Waiting til April for 2022 Q1 earnings, waiting for confirmation the acquisition goes thru, sucks.
Meanwhile precious metals sleep while inflation rages. Go figure.
Cheers.