Gary,
I am not familiar with this guy,but possibly he has some influence?
Dines Sees A Breakout In Franco Nevada
Ben Berentson, Forbes.com, 10.30.01, 10:00 AM ET
NEW YORK - James Dines, editor of the four-decade-old The Dines Letter, is bullish on Toronto-based precious-metals company Franco Nevada (TSE: T.FN - news - people). FN collects royalties from mining companies that produce gold, diamond and platinum from the mines it has a stake in. "They have 23 employees who are all lawyers and accountants, and all they do is collect money. It's amazing," says Dines. Franco Nevada has $684 million cash on hand, a 93% operating margin and no debt.
Technician Dines mostly likes Franco Nevada for the way its stock has been trading lately. Over the past few months, it's been trading above its 200-day moving average, a strong bullish indicator. Dines says that the stock formed a base from April to December of last year. A base formation occurs when a stock comes off a decline and trades with heavy volume within a relatively narrow price band. Now, says Dines, Franco is breaking out: Its stock has risen from C$15 to a recent C$22. Buyers should keep a trailing stop (a stop loss which you raise periodically as the price rises) at around 20% below the price, so if you buy now, put the stop in at around C$16. |
