Altius Minerals Attention Empty Suits who run OPM on Wall Street
Altius is a good stock for lazy money managers who want to look good for their clients. Its a long term hold and is not for market timers or players who need to be sure of short term appreciation to keep their jobs. To develop the confidence I have in Altius takes study and work so you need someone to do that for you because if you are a true Wall Street Empty Suit you are lazy and a little dumb. Altius has little down side risk, tremendous upside potential, rock solid finances, with no debt, and competent honest highly respected management with a track record. Because Altius is in Canada with a market cap under 500 million and no one in your clique ever heard of it, your " mother" may not permit you to consider it as an investment. Although Altius has interests in Alaska and Chile and Quebec, its focus is in Labrador. Altius is a royalty generator. Unlike most royalty generators who issue stock to pay for acquistions, with attendant dilution, Altius generates its own royalties from scratch. Its a slow methodical process, but it works. You need to be willing to take the time to study the company. If you are stupid enough to buy a stock without studying it in depth, you wont be a good long term stock holder, and if you are too stupid to study a stock you need to have someone on board who really can and will.
What would you study. Balance sheet, as it relates to current market cap. Good easy start. When you like it , you know it just might be worth the time to dig deeper. Track record. active royalty
a small percentage of the Vale Voissey Bay Royalty. Not enough to pay all the operating expenses but a piece of a world class royalty. Not a bad start for your study. Aurora, 2 percent royalty. This one is 5 to 7 years out but it does not cost Altius a penny to own. What is good about it. Its a huge prospect purchased by Paladin the 5 th largest Uranium Company in the World for some nice change. Paladin intends to develop the property. If you are not lazy, you will dig deep by reading up on Paladin and see that Paladin recently got a huge loan to be paid back in Uranium in the future from an unnamed utility. We are talking the 5 th largest uranium company in the world. Its not bull. Now why would a utiltiy be un named. Good question. In my opinion no utility in the western world would dare to make a zero interest mulit year loan for hundreds of millions. It had to be China with long term horizons. That it is China is not material. The question- is it true ? and now the kicker. The loan is secured by the Aurora property with credit for any improvements Paladin makes. How do you check it out. Look up Paladin or check with the Indians up in Postville Labrador to find out what is going on. The only thing you will find on the Altius site is that they own the royalty. Altius does not crow, it produces. Lets get better and more current. The Kami project which Altius staked and spent 2 million on. Now Kami belongs to Alderon- AXX in the US- but Altius has a 3 percent royalty and 32 million shares of Alderon with production planned in late 2015 at 8 million tons of iron ore a year. Alderon is exceptionally well managed, near the railroad, in the mining friendly province of Labrador. And Liberty Mutual has a chunk of Alderon and Alderons big investor customer is Hubei one of the biggest steel companies in the world. Alderon stiill needs a lot of Capex but its flying right along on schedule. Alitus has a lot more in the works. Same process. Altius has Joint ventures with Cliffs and Rio Tinto but I think the lesser known deals are more prospective and potentially huge. Nothing wrong with Cliffs and Rio Tinto and the relationships show respect for Altius, but the excitement and motivation is with some of the smaller companies with Altius properties that have good potential. I am not a geologist, but I have confidence in Altius judgement and am absolutely sure Altius is in the right place at the right time with huge holdings.
My suggestion see if your health care provider covers brain transplants. If it does, get a good one and study up on Altius. I predict it will hit 40 by the end of 2016 with a $1 per share dividend with upside potential on the share price and dividend as other projects come on line.
I'm curious whether you would agree or if you think the following thought is too much of a stretch: I tend to think of ATUSF as a company similar to the gold and silver streaming companies such as Franco Nevada and Silver Wheaton but in base metals and uranium instead. Do you see similarities?
Interesting. I had FN. It was a 50 cent stock in the mid-80's and it hit about $1oo/share around 2000. Not a misprint. All of this, while gold was in an overall bear market. I'd love to see similar gains for Altius as well.