Q: I understand that TUK is a smaller company, but I’m curious about its growth potential over the next 3-5 years. I’ve noticed that they recently raised capital and reported positive drilling results. Could you share any insights on the company’s inside ownership? Specifically, is the ownership level balanced?
I’m considering taking a small position in my TFSA and would appreciate your thoughts.
I’m considering taking a small position in my TFSA and would appreciate your thoughts.
5i Research Answer:
Keep in mind we pay very little attention to companies under $50M market cap (it is $20M even after a 60% gain this year). It has $10M cash, no revenue, losses and negative cash flow. It does have some proven unproducing reserves and more 'probable' reserves. Insiders own 9.4% and have been buyers. Trienergy Resources owns 3.85%. The balance is widely held and we show no institutions.