At the end of last quarter, SLW had $300,000,000 in cash. Since they haven't made any acquisitions this quarter, they have about $375,000,000 now.
That is great with me. I was hoping they'd wait to make the next buy, until they were able to pay for it with profits, instead of debt.
Even if it's a big buy, and they also use their $400,000,000 credit facility, they can pay half in cash, and that would be a monster purchase. Many more ounces, and higher future earnings.
As long as SLW keeps raking in the money, and then spends it on future silver streams, the sky is the limit. Add to the mix, the price of silver rising for many years to come, and SLW could eventually see it's market cap grow from the curent $9 billion, to over $100 billion.
Cash flow is king. Silver has been discovered by rank and file funds, to be discovered by rank and file.
No dividends required, this is valued as a growth company, nobody wants the burden of dividend reviews of company valuation in a go go world.
You're asking for a retraction in the price of the shares if you do to the tune of 25%
SLW isn't a miner Starman. Do you even know what you own?
SLW a silver streamer. Silver is only $21/ounce. It has triple digit potential this decade.
As SLW buys more silver with the cash it produces, futures sales in terms of ounces will increase. Already sales are projected to double in the next 3 years.
RGLD, the gold streamer carries a 100PE. SLW has only a 50PE.
Add the price growth of silver, sales growth of SLW, and a potential for PE growth, then do the math. $9 billion today, $100 billion is very possible.
It is very possible of a dividend announcement when earnings are reported which which would be nice. The cash amount is agreeable and that means that they are little hedged. The FED FOMC update is positive for us. From $3 to $26 is history. Our talk is done on that. SLW will reach much higher levels in months and years to come. China and India alone could eat the supply of silver alone in just a few years, which will drive the silver market crazy.