SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Ride the Tiger with CD
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: rubbersoul who wrote (60010)8/29/2006 7:35:21 PM
From: zoo york  Read Replies (2) of 312992
 
Hi John!

I think CS is going to be a fast mover this fall. I spoke with IR last week and they are ramping up production quickly, now at around 1000 tpd. At that level the operating results are going to be strong, but once they get up to 1500 tpd before the end of the year, CS will be a cash factory. I hear they are also bringing in 3 more drills and working to define a larger ore reserve. That may be enough to create takeover interest.

My expectation is for at least a double from the current price range. But I would not rule out even stronger performance, if the company is able to report cash flow in the range of 15 cents a share for the first quarter of production. Annualized, they could easily generate 70 cents per share in positive cash flow and I think that would support a share price of $5-$7 depending on the economic outlook.

I passed on Stroud a couple of years ago, but I may have to take another look at it. Their property is right next to the BGL Cinco Minas project, and that makes the story of interest to me. I am pretty sure BGL is going to surprise a lot of people that wrote their project off because TM.V made such a hash of the exploration program before BGL got involved. Once the market figures out what they have there, then surrounding projects like Stroud will get some interest too.

cheers!

COACH247
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News