SLW will report earnings of five cents per share for the third quarter. But Comprehensive Income will be a loss of $22 million. They have lost $40 million on securities available for sale. The one bright spot is cash flow per share should be eleven cents per share.
I appreciate your efforts on this post and your sharing knowledge.
It is a sad world we live in when those with knowledge refuse to share it because of the redundently implied expense to acquire it...lol
Yes, I saw your post. Respectfully,I will not go through my calculations. I spent over $200k earning my business education at the University of Chicago. I don't intend to give away that hard earned knowledge. I freely give away my conclusions and am willing to be judged on those results.
What impact does my economic interest in this stock have to do with the facts?
On Nov 3, you will see the accuracy of my analysis. Five cents per share net income, eleven cents per share cash flow, and $22 million loss (comprehensive income). Make a note, and judge my accuracy on Nov 3. That accuracy is completely independent of any economic interest.
He is referring to SLW Equity Investment stakes in:
( Company / Mine / % Ownership, taken from SLW website )
Bear Creek / Corani / 18%
Revett / Rock Creek / 17%
Sabina / Hacket River / 12%
Mines Mgmt / Montanore / 11%
The market caps of these pre-feasibilty juniors have been hammered down in the last 3 months. "Mark to market" will show big losses assuming SLW retained their positions.
Only the strongest juniors with precious metals ( as opposed to base metals ) will be developed, SLW judged these to be investment worthy due to strong silver deposit measured/indicated/inferred resources etc. so they could capture the streams once operational. Long term investments, we shall have to wait and see on these.
IMHO: No impact on SLW operations/cash flow/credit lines.
Many juniors and even bellweather solid earners ( like SLW ) have been thrown out with the bath water in the Mining/Metals Sector by panicked sellers looking to just get out of Mutual Funds/ Hedge Funds etc.
SLW fundamentals are price of silver and mine production, simple eh? My bet is that SLW is positioned to pay off their debt and become a cash flow firehose over the next few years.
Bear Creek Mining halted per request of company - pending news
SLW has a 16-18% ish stake, could be good could be bad.
speculation was takeover target
Thank you Handy for the clarification. Great work.
You wrote, "My bet is that SLW is positioned to pay off their debt and become a cash flow firehose over the next few years."
Undoubtedly in a "normal" economy you would be absolutely right. Unfortunately, I don't like the prospects for a normal economy for the next year or two. Hmm. I never thought SLW would sink to these prices...