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

To: kidl who wrote (60251)	8/31/2006 10:36:01 AM
From: JoeBarry9	Respond to of 312816

I posted that yesterday. I haven't been around these boards for a long time. Glad to see others are interested in CS. I think it will be big winner.

To: kidl who wrote (60251)	8/31/2006 12:45:04 PM
From: zoo york	Read Replies (2) \| Respond to of 312816

Hi Kidl! I think that was a pretty accurate summation of the potential for CS. However I will make two points. First off the average grades of the ore he referred are not necessarily the grades that will be run through the mill. I think his numbers are low, and the company will probably run some of the higher grading ore they have developed to repay the start up capital quicker, and kick start interest in the stock by posting higher numbers. Secondly, I think the earnings multiples he describes are low. And again it is difficult to come to a realistic comparison because the range for earnings of the handfull of juniors in production are all over the map. Some premium will be built into the share price for ongoing exploration potential, and growth, so I expect a multiple more in line with at least 10 times earnings. Also the share structure for CS will be far more stable than most of the other producing juniors in Mexico, and most of the cheap paper was already blasted into the market when the spinnoff was announced. So share price increases will be sustainable, once the company discloses their operating results, which I think will surprise the market. cheers! COACH247