AXU is trading as if it is getting ready to announce a secondary offering. I could be wrong but I've seen the pattern before on a number of occasions. Also makes sense since they will likely need funds to implement their production plans.
Should this be the case, the time to buy would be after they make the official secondary price announcement.
How do I rate this a minus 10? Read "tburkes" post & do some intelligent research......unless you are short. They will not issue more stock unless they find huge gold at Brewrey Creek and even then they may want to grow organically. This management is smart, experienced and not "BIG EGO" driven. They will model for growth based on prudent financial, engineering, and processing risk peramiters. Lots of resources, no rush to accumulate KILLER debt and spread management/employee resources too thin. Growth is very hard to manage properly. Fast expansion has killed many a "winner operation" This team will not do that....even new plant is transportable & can be moved if need be. 2 out of the 3 months in 2010 will attain maximum output & clearly demonstrate results to justify a double from here by end of Feb 2011. Good luck. PS, they have exploration results from previous operators that identify huge potential but sec requirements today are more stringent so they can't use them. They must do new drilling under proper format....only a matter of time before new resources can be added to balance sheet because they know where to drill! Bought more today and if Hecla moves up after earnings next week, I will sell it and buy more AXU.
Nobody expects big earnings here..how can they?....with so many other producing stocks going up it's tough to let your money sit here without news..they're just bored..once the upcoming announcmements are made..they'll be back to catch the action...by the way that was a solid close..seems people know something is coming and they don't want to be out...goodluck
doubt it... we've had a big spike up (along with ag and lots of pm stocks) that had to be digested a bit... a good pause and cleanout... silver has at least! one more push up before year end... after which would be the more logical time in terms of the seasonal cycle
I don't think most folks are really thinking that strategically. I think last week was a herd mentality. It is a powerful force. With the herd now grazing, some folks are just looking for pastures elsewhere. I think it is pysch more than fundamentals.