It can be a tough read. However, I highly recommend it. One of the most well written articles I have seen to date. On my second read, already.
How long it takes to fully play out is the big question.
I've been adding to my CDE calls every time it dips. Generally CDE rallies early market and gives it all back and then some late morning. That seems to be the best time to move in to more contracts.
I am sitting on a lot of them now. Couldn't help myself. Earnings on May 9th. My guess is $235-240MM revenue with 0.70-0.75 EPS.
do you have an opinion on slw?
ReplyDeleteI do, kind of. SLW is a great play. My only concern is that they aren't actively running their mines and are at the mercy of their counter parties. There is a small chance they are forced to re-negotiate some of their deals.
ReplyDeleteI am more comfortable with CDE. They have some of the world's best potential mines and they actively manage each one. Quite a few mines in the US, one major one in Mexico, one major one in Bolivia(although, they basically just run this mine for the Bolivian government) and a couple other minor mines in various places.
There major, major downside is an awful management that has made many mistakes in the past. However, they have been run well for the last year or so.
In the end, whether you pick SLW, CDE, PAAS, or a few other silver miners, it still should perform well into a currency devaluation.