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Sold UEC, SLW, Partial Sales of CCJ, HCLP

This morning:

I completely sold out of UEC (5% cash raise).

I completely sold out of SLW for +5% (11% cash raise)

I then sold down CCJ and HCLP (my two remaining largest positions) until my cash position was 25%.

HCLP remains my largest and most successful position this year, +170% since I bought it last August. CCJ is an idea I remain committed to, but it’s gone nowhere and I need some cash.

UEC is small, speculative, and just asking for a beat down.

SLW was a quick trade, not an investment.

It’s time to start letting off the gas. Because, let me ask you: isn’t this getting a little out of hand?

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Up Another 1% Again Today

HCLP just blew through $60, as analysts raise targets in response to the HAL announcement.

BAS is back above $27. I guess I could have held onto all of those shares, but I have no regrets. Retaining a 15% position in BAS is more than reasonable.

SLW is pushing its way to $26.

My only position that is down noticeably today is UEC. And that remains my smallest position at 5% of assets.

Fracking investments remain the place to be. Oil names are doing well by extension (and a high price per barrel). I’m telling you, coal will be the next thing to run.

Have a wonderful afternoon.

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New Position: SLW

I think the other contributors on this site are dead on about a new move in the precious metals, so I have my lotto ticket selected. I bought SLW for $24.90.

SLW has managed to keep revenues flat from 2011 to 2013; think about that. Gold and silver were cut down (silver lost more than 50% from the highs). But SLW held revenues flat.

How did they accomplish this? Well, part of it was probably that they weren’t getting the top dollar for their production anyway (either holding out for higher spot or held down by existing futures contracts). But an equally big attribute has been the unwavering stream of acquisitions they’ve been from 2011-2013.

They’ve been offsetting their own loss of revenues by buying out competitors.

That has put them in a curious position of being a very strong play on a rebound in silver and gold. In spite of that, when I look at their cash flows and financial position, they don’t look distressed (if you believe their filing, it’s foreign).

Personally, I don’t completely renounce my common sense here, and I’ll be on the look out for signs of trouble (for instance, creative accounting and instruments of financial destruction buttressing up their book).

But at the moment, taking a new position at these levels feels right enough. They pass the first smell test.

I offset the purchase will sales of HCLP and BAS.

No before you ask, I do not think HCLP or BAS are to be sold here, I just have way too much in them after they doubled this year. It made sense, while taking this new position, to use them to offset the purchase. My other positions were driven below 10%. I need to rebalance soon but want to wait to see if BAS and HCLP can break out further before I do too much.

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