"" Any thoughts on why? Especially in lieu of the news. I know it is not great but it doesn't seem bad either. ""
1. GORO management hasn't released many drill results over the past 18 months. Many GORO Longs claimed that management was sitting on the drill results because the results were so good that releasing them would immediately trigger a hostile takeover.
News like this proves that the GORO Longs were being delusional - again.
2. There may have been some "buying on the rumor" about this release, and now you're seeing the "sell on the news" after this information proved to be lackluster.
3. GORO is still highly overvalued - even when you consider today's news. The market is slowly starting to realize that.
Are you a newbie to this stock?
Posting a drill result of 8 feet of dirt in a location they are years away from mining, if ever, is not news. Focus on the here and now. SORO is projecting 80K ounces this year, below last year's output. Metal prices are declining while costs are increasing every quarter. SORO has lost credibility in the market and long time instituitional holders are bailing because SORO has collapsed while the general market has exploded higher. The PM sector is seeing a rotation out and this money is seeking momentum, not turn around plays. You can buy SORO and gamble that the monthly dividends don't get whacked and the stock won't get diluted again to pay for the currently unsustainable dividend. That would be a brave move and it doesn't appear many will join in on this gamble given the sell offs into any upward movement. This is dead money for at least 9 more months. And after the 2012 numbers get published showing a negative year over year net....expect the decline to continue until SORO joins the multiples over other single mine silver producers that are barely hanging on.Go bet on Red/Black...the odds seem better