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Signal Gold Inc T.SGNL

Alternate Symbol(s):  SGNLF

Signal Gold Inc. is a Canada-based gold development company. The Company is engaged in advancing the wholly owned Goldboro Project in the Canadian mining jurisdiction of Nova Scotia. The Goldboro Project is an advanced exploration and gold development project located approximately 175 kilometers (km) northeast of the city of Halifax, 60 km southeast of the town of Antigonish, and 1.6 km north of the village of Goldboro, on the eastern shore of Isaac’s Harbour, in Guysborough County, Nova Scotia, Canada. The Company has consolidated approximately 28,525 hectares (285 km2) of prospective exploration land in the Goldboro Gold District.


TSX:SGNL - Post by User

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Post by shiftyoneon Nov 21, 2024 7:05pm
61 Views
Post# 36325000

The low low share price can be like a snowball

The low low share price can be like a snowballObviously junior explorers are not in favour now.  Because it costs so much, and takes so much time, to actually build a mine.  And most never do.

But the low shareprice feeds on itself.

The markets in general have had a fantastic year.  And so people have a lot of capital gains.  They want to sell the losers to offset the taxes.

The lower the price, in one way, makes it more appealing to sell SGNL.  The capital losses are bigger the lower the price.  And SGNL the last couple of years has been on a downward trend, so everyone can claim the losses by selling.

Stocks that have performed well, or are nearer their highs of the last couple of years.... way less incentive to sell for tax reasons.

There is the uncertainty of this deal going through,
There are people who don't like the deal, don't see a bright future and just want out.

The lack of institutional support at this time doesn't help.  They might hold if they feel positive about the future.  But it is pretty much all retail investors.  The selling the last while, some of them had significant investment in SGNL.  Some had millions of shares at a much higher share price.  If their average price is 0.50, well that is a huge tax right off if they sell now.  They are already down 85%.  So if they sell for 0.06 or 0.08, that really makes no difference to them.  They want the loss... and already lost their money.

jmho
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