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Investment Q&A

Not investment advice or solicitation to buy/sell securities. Do your own due diligence and/or consult an advisor.

Q: I am curious as to your current thoughts on Red Eagle? Now that they have reached commercial production, their current presentation states that they are trading at 3.1x 2017 Cash Flow, compared to a peer average of 11.6x implying a 73% discount.

Aside from this, they have lots of expansion potential at their current mine, and have three other prospects in the wings with lots of cash. What am I missing?
Read Answer Asked by Michael on April 18, 2017
Q: I see that Teck is held by a significant number of institutions. This surprises me as it seems to have been a pretty wild ride recently. Is this indicative of this sector? Would most of these companies have a long term hold? Has Teck been an institutional hold for a long time, or just recently? Or how do they make owning Teck work for them? In this sector must one constantly have one eye on the commodity price?
Read Answer Asked by Mark on April 17, 2017
Q: Looking at CCO. What are your recent views on CCO and the uranium price since your last Q/A in January? CCO's stock uptrend continues and appears ready to break out of a 3 year intermediate downtrend. Company pays a $.4 dividend against $.7 cash flow and has a book value around current price. Has Kazakhstan really reduced output? Will new reactors coming on stream affect years of oversupply? Would significant military intervention(s) in 2017/18 affect uranium supply or prices? Are there better ways to play uranium should a broad material recovery occur?
Read Answer Asked by LARRY on April 17, 2017