a swing from potential sale during summer for 67mill to 23mill purchase- but only spent a little cash to get two streams and another experienced manager-now we have 4 streams and adding to percentage with options to buy for 6 mill---15 net for severa years-krebbs adding corporate toys to his Chicago move- el gallo mine from mcwen mining now that's cool-
Thanks for the analyst comments, SirTheYogue2.
Miners that have weathered the smackdown well may be among those with the greatest near term upmoves...unless they are already holding some gains.
For CDE, I'm personally thinking of the price per shares AS SILVER REVERSES AND HOLDS UPSIDE GAINS. Investors buy with a 6 to 9 month outlook, in many cases.
In the case of 'blood in the streets' crushing of an industry...as happened, for example, in the solar stocks/industry in recent years, one may consider buying some shares at an oversold point.
FSLR SPWR SCTY were among the solar leaders, but TSL YGE even JASO and many others had excellent move...even IF one had begun to accumulate on the way down...even without the bounce trading I attempt to engage in for some long positions.
The fall in oil prices is beneficial to miners...since they need energy to mine and for all their activities.
Again, congrats on your nat gas profits !!! We miss you here ... your posts, that is ... us 'old timers' do !!!
Peace Congratulations Agape !!!
When Will This Silver Miner Stop Losing Money?
By Vladimir Zernov | More Articles
November 25, 2013 | Comments (0)
Falling silver prices continue to put pressure on silver miners. This is particularly true for those miners who were already unable to operate profitably at higher prices, like Coeur d'Alene Mines (NYSE: CDE ) . The company finished the third quarter with an adjusted $23.4 million loss, while the average realized silver price was $21.06. As silver prices drift under the $20 mark, things don't get easier for Coeur d'Alene.
No confirmation yet, but I'm holding my latest add to CDE.
It's a tiiny amount (thus far) added to the tiny amount that is currently my 'core.' Additional shares may become 'core' long term holdings IF/WHEN we have confirmation of tunaround in gold/silverCDE.
Elltiott Wave suggests (some say) another wave down for gold, so I'm ready to sell IF it appearss that evaluation is correct.
In any case, miners are undersold and undervalued, for the most part, imo, including CDE.
If gold experiences another smackdown, I believe it will be bought up.
CNBC had a segment on China buying diamonds, Picasso, US real estate. huge buying...while others need to sell at huge losses...
Predictable. Was part of the 'plan,' sadly. No mention of their gold buying...see zerohedge, GATA and other sites to try to git a handle on tlheir actyivites re gold/silver.
Meanwhile, DUST (3x bear ETF.... for shorting gold miners) is becoming overbought. MIGHT be at least a near term pullback.
NUGT (ETF for 3x bull moves on gold miners) is becoming oversold, with low RSI.
Wycoff (at Kitco) declares bear have solid near term advantage for gold futures (see his charts...also see other guru folk comments).
Still consider CDE a potential turnaround in the mining sector, and believe that ... once gold and silver reverse ... there will be a nice upmove here.
My overweight pick in miners is not (yet) CDE, but I may overweight at some point. I'm referring to holding AMONG the miners...mostly rebought within the last few days, or today. My overall overweights are not (yet) in gold and silver miners. I do not see sufficient confirmation that a definitive turnaound in gold and silver is imminent...tho as I mentioned in previous posts. It's possible some of the miners have bottomed. See the 80% move in one precious metals miner yesterday. (My overwieghts have been in specific biotechs, nat gas and uranium miners or ETFs).
Profit for Good Causes
Wow , I think I might actually like this move. Maybe they have another move up their sleeve !
cost a little cash and some dilution for 15 mill net-got to fill that corporate headquarters-maybe some day we will pull a franco--
silverfox you forgot to add I I bought my trading position 14.10 on the way to 37.00 and traded out using calls as stock replacement and then bought again just under 16.00 in summer before run back to 31.00 and sold at 24.00 to early on way to 31.00 and then bought puts at 31.00 strike on core but covered at 28.00 a profit but too early and then when cde at 24 I advised buying puts as insurance as silver was at critical area charts(avi gilber article seeking alpha i bought may 21.00 puts on core in march that covered most of pullback--surprise I went back to 2011 and found post to mbli stating that I was starting to think defensive and was buying calls as stock replacement to limit against pullback-just got into pretium on open after a very small amt picked up pre market will buy 5.00 puts locking in profit and sell 7.50 covered cals on rally--effectively locking in profit and paying for premium on puts while leaving 2.00 upside----don't call me lucky I had experience with rby bulk sample and problem with bcsc and nugget effect and have been tracking pvg since strathcore resignation so as soon as bulk sample released 4200 without being finished the short squeeze was assured--also emailed alert as soon as news release to several board members--i'm up early with time difference-back to pvg bulk sample and Cleopatra vein has its previously permitted 1000tons of very high grade ready to be milled and 38mill in bank-lawsuits negated-the fun is just beginning--cde is hostage to silver price and charts -hedges are having their day but it sure is fun listening to sizzle at pvg-
rox must be out with mundane. pumpers hang out together. mundane pumped for years and then really pumped heavy (every few hours} at $37 two years ago as the death spiral to $10 followed. CDE is worst managed company on any exchange. my belief is they are crooks who have not been caught (yet). no group of individuals could possibly make that many mistakes for a decade without doing it on purpose. a two year old rolling dice would have saved the company and shareholders for every bad decision made since 1990 and in particular since 2011.
With the cost of revenue as high as it is, a profit margin that isn't close to existing and a huge debt, only the totally uninformed would suggest starting a dividend at this time.
I don't think we are going to see that happen any time soon. I believe the Bull Run has seen
it's best days. It has experienced a lengthy run and can't go on forever. JMO
Is someone making you own CDE? If not, and if you do not like what the company is doing, do not invest in it. But whatever you choose, please choose to shut the eff up already. You are extremely irritating.
Yes. There won't be any serious discussion of a dividend until silver gets back to $30 and gold to $1,800.
CDE remains a trade unless one is convinced the prices of silver and gold are about to rise.
Btw, the number of shares issued as compensation has been negligible. The only significant issuance of shares in the past few years has been for the Orko acquisition. Just my opinion, but issuing shares for the acquisition and then buying back shares on the open market requires an explanation.
so they can buy back shares and issue more shares as comp but can't give anything back to shareholders. What incentive has there been to "invest" not trade in this company? That is the real question here. If you own PAAS you get 5% dividend. Again, when will CDE be an investment and not a trade?
I just did a quick review of the 3rd Q 10-Q, posted on Edgar. Pages 4, 23 and 24 provide lots of interesting data.
Firstly, the "Cost of Revenue" (meaning production costs plus depreciation and amortization expenses) for the nine months ended Sept 30 2013 were $532 million, versus $516 million in the comparable period of 2012. The increase of 3%, given similar amounts of production, shouldn't get anyone overly concerned. Yes, silver production was down about 8%, but gold production was up 22%.
But a review of the detail on page 24 reveals interesting tidbits that are missed if one only looks at the company-wide costs mentioned above. The costs at Kensington are up 42%, not a major concern given a production increase of 45%. But San Bart's costs are up 18% while its production is down 3%. The 2012 total "Cost of Revenue" included $18.6 million at Martha, while the 2013 was negligible. Rochester's costs are up 23% although production was similar in both years. So while the company-wide "Cost of Revenue" is similar in 2013 vs. 2012, the individual components include some significant swings. Whether we like the swings or not, management has largely been open in discussing the causes, e.g., lower yields at San Bart are expected to be offset by increasing yields at Rochester. These are inherent management challenges in the mining industry, identifying the optimal places to invest in order to maximize returns based on expected yields/recoveries vs. investment required.
Btw, the preceding paragraph isn't intended to be an apology for management. Rather, it is intended to be a somewhat informative explanation of what's in the numbers. And it remains clear that "Cost of Revenue", as a percentage of Revenue, will not DEcrease significantly until the prices of silver and gold INcrease significantly.
with extraordinary gains. (Congrats to some of my friends...own only one of those pm's with huge moves rom 33% to over 80%.)
Do own quite a few uranium stocks...up 7% to 17% in some cases.
Peace Congratulations Agape ~
You're ignoring a couple of things ..
1. Book value is grossly inflated, and has been, since the acquisition of Palmarejo.
2. The company's operating cash flow isn't adequate to support a dividend payment.
Further, your mention of the company having $200 million of cash conveniently ignores the fact that it also has $300+ million of debt on which it is paying interest.
A piece of advice .......... Get off the dividend bandwagon. Coeur has higher priorities on any excess cash, including the development of La Preciosa, the continuing buyback of shares, the requirements of debt repayments, etc. Dividends won't even re-enter the thought process of management, and shouldn't, until the prices of silver and gold go up at least 50% and remain at an elevated level for at least 6-12 months.