Seriously Schoolsout... MUX? Really???

This is what you are recommending? This ain’t “investing”. This is high stakes gambling…

You would pay $1.18 BILLION dollars for a company that has 60M in revenue with a loss of 20 million? PE of 100+??? What investor would pay 100x earnings?

GAMBLING!!!

it’s definitely not for the faint of heart…

no debt, holds back metals mined…49% interest in a pretty big copper mine…run by a CEO that has a salary of $1/year, but owns 25% of the company. Is very friendly to shareholders (when new stock is issued, current holders allowed to buy below market price up to certain % of their holdings) and was just inducted into the mining hall of fame. He’s a legend in the industry and considered one of the top in the field.

Gold will go up and good miners will do so in multiples.

I don’t hold this specific stock, but I have a fund similar to GDX.

I made 31% last year, and already made 12% this year. Also got 3% dividend deposit in December. I have stopped purchasing any more, but still hold a good chunk of my portfolio. I plan to start selling some and switching to larger cap funds if the market corrects sum in the near future. I’d like to get out of it altogether, but think there is still some strong upside short term.

“Wailord”
1979 17’ Montauk
90 Johnson

Wilderness Ride 115

Should have hopped on board, skinnee…

300% last year…23% since purchases oct-Dec 2016 and I’m out of mux in spec act for time being. Still holding GORO (even as of yesterday), AG 23% up since Oct-Dec 2016 buys(before after/pretty market hours.today)…and NGD has stumbled a bit, but my smallest hold g of miners.

Too speculative for my taste.

quote:
Originally posted by skinneej

Too speculative for my taste.


It’s working for me…for now

I may unload a lot today and hopes and buying tomorrow if that jobs report comes in good but my one worry is a good jobs report made make people think that it’s more inflation coming… usually the metals in minor get hammered with good jobs report but things are changing it seems

Sorry if it doesn’t make sense talking to my phone on the way into work

quote:
Originally posted by SchoolsOut1
quote:
Originally posted by skinneej

Too speculative for my taste.


It’s working for me…for now


Yeah, I get that... "Speculative" doesn't mean "won't work"... :smiley:

Well, everything is speculative, in reality…some more riskier than others. These aren’t your normal markets and depend on a lot of variables other than actual company strength/position.

By the way, when is that double top in gold going to hit that you were talking about :slight_smile:

quote:
Originally posted by SchoolsOut1

By the way, when is that double top in gold going to hit that you were talking about :slight_smile:


Look at the end of that graph
quote:
Originally posted by skinneej
quote:
Originally posted by SchoolsOut1

By the way, when is that double top in gold going to hit that you were talking about :slight_smile:


Look at the end of that graph

Looks like you picked a random time line tI fit that prediction. I could do that with anything you own…

What does longer term chart look like? And weren’t we talking about gold having a “double top?”

Look at the dates on that chart!

Expand the dates and see if there are other “tops”

If truly a double top, much higher to run

quote:
Originally posted by SchoolsOut1

Expand the dates and see if there are other “tops”

If truly a double top, much higher to run


Sure. This chart is a 5 yr chart... I'm really talking about the "double top" right above the "Jan 4 '16" label to current date. Sure, it could go "much higher", and it could also go "much lower". The green line that I drew seems to show that there is a bit of "resistance" about the $4.25 range (give or take where every you want to draw the line). So if it's at $3.94 now, and has resistance around $4.25, then the upside is around 8% if I do my math correctly...

That being said, I don’t do any investments solely on charts. I just kind of eyeball them to know if I am buying “high” or buying “low” compared to recent history. As you know past results does not indicate future performance. It could go to 0, or it could go to 10.

I absolutely cannot argue against the fact that it’s had a lot of momentum for the past couple of years. And, I will concede that momentum is good (and I do take that into account on my own purchases). The only problem is, momentum only lasts as long as momentum lasts.

That being said, it’s hard to judge… I’ve never bought a share of Amazon in the last 5 years because of it’s crazy P/E. I wouldn’t short it, but I can’t buy it at that multiple. As you can see, I’ve missed out. But, I also learned a very hard lesson during the .com bubble… When I was at MSFT, our PE was sky high when I was starting. I was on track to retire before the age of 30. Well, I ignored the P/E all the way from $130+ a share down to $30 a share, listening to everyone around me saying, “It will go back up!”. I had THOUSANDS of stock options. Much of it went underwater. I pay attention to P/E now… It’s not the end all, be all, but it’s a hint.

quote:
Originally posted by skinneej

That being said, it’s hard to judge… I’ve never bought a share of Amazon in the last 5 years because of it’s crazy P/E. I wouldn’t short it, but I can’t buy it at that multiple. As you can see, I’ve missed out. But, I also learned a very hard lesson during the .com bubble… When I was at MSFT, our PE was sky high when I was starting. I was on track to retire before the age of 30. Well, I ignored the P/E all the way from $130+ a share down to $30 a share, listening to everyone around me saying, “It will go back up!”. I had THOUSANDS of stock options. Much of it went underwater. I pay attention to P/E now… It’s not the end all, be all, but it’s a hint.


I hear ya…valuations are nuts. One thing about the MUX valuation is I don’t think it takes into account the dividend payments they receive. The company is making money, but it is also spending money (no debt, remember) on CapEx.

Also, don’t forget that a double top isn’t the only readings on the tea leaves…how about a cup/handle? It’s really all how one interprets the tea leaves. Nobody knows the future, but I do think gold is going much higher and good miners will follow by higher multiples.

There was a pretty good write up on seeking alpha by a long MUX guy that pretty much sums up my thoughts on the company. It was written the other day.

I know seeking alpha is a cap shoot due to who writes for them…just more info to take into calculations.

I think this was it…on phone again

http://seekingalpha.com/article/4041408-mcewen-mining-shines-bright

hehe…you should have bought some

And the fella that’s trying to double his money should have, too. Good times