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Strategies & Market Trends : Ride the Tiger with CD -- Ignore unavailable to you. Want to Upgrade?


To: hawkeyetrader who wrote (45061)3/7/2006 9:46:52 PM
From: zoo york  Respond to of 313596
 
Hi Hawkeye!

I think CS is an excellent company, and the pending Silverstone spinnoff will also have great potential, plus you get a Silverstone half warrant in the deal. So if I did not have a big chunk in my PF already, I would be a buyer. True, there is a risk that the PM sector may be about to go into the toilet, and if so, you could probably buy CS a lot cheaper down the road. But if you are willing to buy and hold until the end of the year, I do not think the risk is very high. The Cozamin mine will be in production by year end, and generating strong cash flow. They plan to have at least two drills working the Copala project for Silverstone. And any correction we encounter will probably be less severe than what we went through in each of the last 2 years. So all of those reasons suggest to me that there is great upside, but very limited downside.

Having pointed out all of the above, I will not be a buyer now. I already have my PF overweight in CS, and I did my last buy at $1.09 in January, so I do not want to keep adding at these levels. I think it is a great company, but I like a few other juniors that I want to look for during any correction.

cheers!

COACH247