Free
Message: A Positive perspective

A Positive perspective

posted on Jan 10, 2008 07:41AM

Castle Gold - A Positive perspective

Decent reserves, cash in the bank, cash flow positive, good growth prospects, price of their end product (gold) is high and rising, production cost is low & management seem to be making the right moves with acquisitions, mergers, etc.

That's a lot more than most other small caps at these share prices and market cap.

If these conditions persist and the trends continue we will have a sure winner. Big IF?

What's missing?

No one except management and Agoraphobes know about it. Take it from me, speaking from personal experience, if management doesn't get the word out to the brokerage community and to individual investors, the stock will trade in a narrow range and underperform. I do not see them doing anything about this so I must assume they want the stock to remain in this trading range for whatever reason. It therefore is up to us as interested investors to ask management to budget some money for various types of Investor Relations. If anyone is in communication with Company Management please ask why they are not doing any type of promotion for the stock, or at least what is their intent.

I am both a very long term holder of the Company Stock (years before the merger) and a recent purchaser of many more shares. I believe the share price will rise in spite of the above, but with the Company's interest and participation it could be a stellar performer, something we are all seeking.

While the shares are down here at low levels, do what I am doing (if you have confidence). Keep picking up shares in the $.50-.60 area. I don't think these prices will last much longer since the Company must announce earnings by about the end on March. My opinion is the stock will be above $1 by then and still be undervalued.

Experts say large cap precious metals stocks always move before the small caps do, so just have more patience. The large caps are moving, so time is our ally and should take care of our needs too.

Share
New Message
Please login to post a reply