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Hey Toofuzzy, I jumped in at 11.82 the other day but haven't really followed SLW for some time. What do you make of the 'tax' situation that's being a thorn in SLW side?
PS, hope you've been doing well.
Yes all losers that could win big sooner or later.
SLW in the 11's
GG in the 12's
CDE in the 2's
All winning positions ...
imo you will be happy in 3-5 years about that purchase
Added alittle over 10% more shares today.
Toofuzzy
Silver Wheaton plans 20.2M-share normal course issuer bid
Sep 14 2015, 18:57 ET | About: Silver Wheaton Corp. (SLW) | By: Carl Surran, SA News Editor Contact this editor with comments or a news tip
Silver Wheaton (NYSE:SLW) +3.6% AH after initiating its first ever normal course issuer bid for 20.23M common shares, representing 5% of total common shares outstanding.
SLW says its share price "does not currently reflect the high quality asset base underlying the company's robust business model," and that at current prices its shares "may represent the best investment option for our shareholders."
http://seekingalpha.com/news/2777816-silver-wheaton-plans-20_2m-share-normal-course-issuer-bid?ifp=0
SLW $21.71 target is a DOUBLE from here: Price target by BMO in "downgrade" is $21.71- amazing!
"Silver Wheaton Corp. (NYSE: SLW) was downgraded to Market Perform from Outperform at BMO Capital Markets. Silver Wheaton closed at $11.62, has a consensus price target of $21.71 and has a 52-week range of $11.03 to $24.22. Its 52-week low was just hit last Friday."
Who would complain about a 100% gain BUYING with this silly downgrade?
http://247wallst.com/investing/2015/09/14/top-analyst-upgrades-and-downgrades-aerovironment-gold-fields-marvell-nokia-silver-wheaton-and-many-more/2/
SLW: "opportunity for investors to buy the stock. The company has a strong production portfolio that will help it address the deficit in the silver market. Moreover, as stated in the article, the dynamics of the silver market are expected to gradually improve and this will act as a tailwind for Silver Wheaton. Hence, in my opinion, the plunge in Silver Wheaton's stock price so far this year is an opportunity for investors to go long."
Full article link:
http://seekingalpha.com/article/3506986-silver-wheaton-time-to-buy?auth_param=2jtbj:1avd0uk:6c0bea2e95e0c31e5a7270b78ec2cce0&uprof=51
Silver Wheaton’s unique business model
Every day it seems a major mining company announces a production cut due to unforeseen issues. Silver Wheaton doesn’t have those operational risks. The company isn’t a miner; it simply provides upfront money to mining companies to help them get base metal mines into production. In return for the cash infusion, Silver Wheaton secures the right to purchase gold and silver by-product at very low prices.
How low?
In the company’s Q2 2015 earnings statement Silver Wheaton said it paid an average US$4.26 per ounce for its silver and just US$395 per ounce for its gold supply. Gold and silver spot prices have been under pressure this year, but Silver Wheaton still enjoys strong margins.
Could the stock double?
The shares have come down so far that any pop in the price of silver will light a fire under the stock. If precious metals move higher through next year, Silver Wheaton could easily see a 100% gain from current levels.
There is no guarantee that will happen, but the long-term outlook is still attractive and the downside risks are probably limited at this point.
http://www.fool.ca/2015/09/11/could-silver-wheaton-corp-double-in-the-next-12-months/
Options Now Available For Silver Wheaton (SLW)
http://www.nasdaq.com/article/october-30th-options-now-available-for-silver-wheaton-slw-cm518758
What's going on here today? I would like to own some shares here but hoping to pick them up at about $10.
SLW - one of the best silver/gold plays: http://www.fool.com/investing/general/2015/09/04/the-3-best-stocks-in-mining.aspx?source=eogyholnk0000001
"Silver Wheaton is not really a miner. Technically speaking, the company is in the business of streaming. It provides upfront financing for miners in exchange for the right to buy silver and gold at reduced prices once a mine is up and running. While that kind of delves into the specialty finance arena, the fact is that the company is still dealing in the precious metals.
So Silver Wheaton doesn't get its hands dirty, but it does "produce" silver and gold, which it then sells on the open market. About 60% of its revenues come from silver and the rest gold. However, it's the costs at which the company is able to produce these metals that are so important: Silver Wheaton pays roughly $4 an ounce for silver and $400 for an ounce of gold. That's well below recent lows in both metals.
That's why you should like Silver Wheaton. While its top and bottom lines have sagged along with the prices of its core commodities, the company remains profitable -- something most other gold and silver miners haven't managed. And that has to do with the company's huge operating margins. In 2014, a relatively bad one for the industry, Silver Wheaton's operating margin was nearly 44%. In 2011, a high point for commodities, operating margin was over 75%. There's clearly a lot room for adversity in that number".
Thanks for that, but let's hope "the doc" is right?
Getting interesting... Run on Silver Developing As Demand EXPLODES!
Posted on August 28, 2015 by The Doc
http://www.silverdoctors.com/run-on-silver-developing-as-demand-explodes/
SA article: "Here Is What I Think About Silver Wheaton
Aug. 12, 2015 2:49 PM ET | About: Silver Wheaton Corp. (SLW)
Disclosure: I am/we are long SLW. (More...)
Summary
Considering that silver prices have been crushed, the most recent quarter was pretty strong.
Higher silver prices would be great but the fact that earnings are positive in this low silver environment is strong and the dividend is sustainable.
At $14 a share the risk/reward is looking mighty favorable.
It has been a tough time to be in the precious metals sector. As a shareholder, I have watched my holdings in Silver Wheaton (NYSE:SLW) get sliced by 40% in value. Ouch. I have yet to add, because I have not seen signs of a recovery in silver just yet. That said, should SLW hit $11.00 I have decided to average down. And again under $10. This is because I truly do not see much downside in silver left and think that when prices revert back toward the mean, SLW will move tremendously higher. It is however a question of time. 6 months, 6 years, 60 years? I doubt the latter, although 6 years could be realistic. So could 6 months. We simply cannot predict it, but we can acquire holdings in quality companies that stand to benefit from a rebound in prices. As know, the first quarter of 2015 led to SLW seeing some pain and most of the issues stemmed from yet another quarter of low silver prices as well as production attributable to the company declining year-over-year. Fast forward here to the second quarter and I can tell you that silver prices were no better. So just how did the company perform?
Well before I answer this question let me just say that you can legitimately take issue with silver prices. It hurts having owned this company on the way down for many of you and although I have maintained that you should be taking advantage of the decline for the long-term, I am cognizant that the pain is real. In Q1 2015, silver prices at sale declined 17% year-over-year to $16.95 an ounce. However, once again in Q2 2015 average prices were $16.42 per ounce of silver sold, compared with $19.83 in Q2 2014, representing a decrease of 17% year over-year, and a 3% decrease quarter-over-quarter. Being under $17 an ounce essentially crushed every financial metric you can think of. As such, the dividend is still at $0.05 per share or 1.5% annually, but could come down again if earnings remain pressured. Sadly silver has been weak in Q3 2015 too.
So just how did the company perform financially? Well I will tell you that the company missed once again on the top line but reported an in line bottom line. Revenue came in at $165.4 million, which missed estimates by $2.3 million. This is barely a miss. These revenues were also up 10.7% year-over-year. The net earnings per share came in at $53.7 million or $0.13 per share versus $63.5 million or $0.18 per share last year, which is a 38% decline year-over-year. Ouch. The good news is the company did cover with ease its $0.05 dividend. So it is more than safe for now. What was interesting in Q1, was that prices and sales volumes were down. Volumes reversed course in Q2.
While lower prices weighed, more ounces were sold year-over-year. Record silver equivalent sales volume in Q2 2015 of 10.0 million ounces (5.6 million ounces of silver and 61,000 ounces of gold), compared with 7.5 million ounces in Q2 2014, representing an increase of 34%. This is the reason revenues were up 10.7% year-over-year. I like it. It reversed course from Q1 which saw silver equivalent ounces sold at 7.7 million in the quarter, consisting of 5.7 million ounces of silver and 28,400 ounces of gold. This was down 5% year-over-year. I thought it might be due to a reluctance to sell at these levels, but that idea clearly has little merit as sales were up 34% in a lower priced environment here in Q2. How about production? Well, production was a record. Silver equivalent production in Q2 2015 was 10.9 million ounces (7.2 million ounces of silver and 50,500 ounces of gold), compared with 8.5 million ounces in Q2 2014, representing an increase of 29%. This is a major plus.
I was also pleased to see rising revenues (due to higher volume sales) in conjunction with lowered expenses. Average cash costs were $4.76 per silver equivalent ounce as compared with $4.72 during the comparable period of 2014. This resulted in a cash operating margin¹ of $11.62 per silver equivalent ounce, a reduction of 23% as compared with Q2 2014. Of course this is due to the 17% decrease in the average realized silver equivalent price in Q2 2015 compared with Q2 2014. Still, production, revenues and expenses moved in the right direction. Finally, cash flows were up as well. Operating cash flows were $109.3 million compared with $102.5 million last year, representing an increase of 7%.
Looking ahead however there is reason to think risk is to the upside. It is unclear what the Fed will do but raising of interest rates be the spark for inflation needed. Issues with the Chinese Yuan devaluation help the metals too. But with a dollar that has been so strong gold and silver have been crushed. That said, Silver Wheaton is biding time and is preparing for the future. Production in 2015 is still expected to rise a solid 20% over 2014 to 43.5 million silver equivalent ounces. Of this, a record 230,000 ounces of gold will be produced. The company has made some serious moves over the last year, and at $14.00 a share, we have a decent risk/reward entry point. I think if SLW moves lower, you almost have to pick up shares as a long-term option on metals.
http://seekingalpha.com/article/3433626-here-is-what-i-think-about-silver-wheaton?auth_param=2jtbj:1asn5b3:4d9c43cee9b9079f48c4a198f98a9a73&uprof=51
Looks to position it well for an eventual commodity recovery.
Silver Wheaton Reports Profit, Record Production In Second Quarter
By Kitco News
Tuesday August 11, 2015 18:03
http://www.kitco.com/news/2015-08-11/Silver-Wheaton-Reports-Profit-Record-Production-In-Second-Quarter.html
(Kitco News) - Silver Wheaton Corp. (TSX, NYSE: SLW), a Vancouver-based silver streaming company, reported a smaller profit in the second quarter Tuesday but also listed record silver-equivalent production and sales volume.
As is the case with producers in general, the company’s bottom line was impacted by lower prices received for precious metals compared to a year ago.
Net earnings were listed at $53.7 million, or 13 cents per share, compared with $63.5 million, or 18 cents, in the second quarter of 2014.
The company said it achieved record silver-equivalent production of 10.9 million ounces (7.2 million ounces of silver and 50,500 ounces of gold), an increase of 29% from silver-equivalent production of 8.5 million ounces in the year-ago quarter. Silver-equivalent sales volume was a record 10 million ounces (5.6 million ounces of silver and 61,000 ounces of gold), up 34% from 7.5 million ounces in the same period last year.
However, the average realized sale price per silver-equivalent ounce sold in the second quarter declined 17% to $16.38 ($16.42 per ounce of silver and $1,195 per ounce of gold). The silver-equivalent-ounceprice was $19.83 in the second quarter of 2014.
Silver Wheaton reported that its board of directors declared its third quarterly cash dividend payment for 2015 of 5 cents per common share. This will be paid to shareholders as of the close of business on Aug. 26 and will be distributed around Sept. 4.
Production hit a record level for the second straight quarter, said Randy Smallwood, president and chief executive officer of Silver Wheaton.
“To provide some context, in the first half of 2015 we produced over 21 million silver-equivalent ounces, whereas in 2011 the company produced just over 25 million ounces for the whole year,” he said. The company is “delivering on our 2015 production growth guidance of over 20% and reiterate that this growth is fully funded," he added.
Meanwhile, in early July, Silver Wheaton reported that it received a letter from the Canada Revenue Agency proposing to reassess the company under various income-tax rules. The company also said, however, that it paid applicable taxes in compliance with Canadian law and plans to defend its tax-filing position. Nevertheless, the company said, the CRA position would mean that taxable Canadian income would be increased for the 2005 to 2010 tax years by approximately C$715 million. Further, there would be penalties and there could be ramifications for tax years after 2010.
"Events subsequent to the quarter, including the sell-off in the precious metals markets and the receipt of the proposal from the CRA, have been unfortunate; however, we remain confident in our business structure and will defend our tax filing positions vigorously,” Smallwood said. “We do not anticipate any changes to our business operations, and we look forward to continued production growth in the second half of this year. Furthermore, we currently see a robust pipeline of very high quality corporate development opportunities."
By Allen Sykora of Kitco News; asykora@kitco.com
Silver Wheaton (NYSE:SLW): Q2 EPS of $0.13 in-line.
Revenue of $164.4M (+10.7% Y/Y) misses by $2.26M.
"The results met Wall Street expectations". http://finance.yahoo.com/news/silver-wheaton-meets-2q-profit-213632381.html
Yesterday was nice..that's all that matters..me trader~
Bad news don't seem to stop this one today~
I wouldn't buy more, just quite yet...the CRA business could possibly be a bigger kick in the nuts in the near future.
Perfect move. SLW purchase in the 12's is a great move.
A good spot to cover shorts!
I added 43% to my holdings today. I cant believe it got this low. Usually I wait at least a month between trades. Looking at the point and figure chart, maybe I cought the low. Will sell a few shares if it goes over 18.
Toofuzzy
Can't believe how cheap this has gotten. Can't hurt picking some up down here. Won't stay this cheap for very long.
Anytime SLW stock price is below spot silver price is a buy,
Toofuzzy
The tax lien and subsequent lawsuits are killing the s/p...
Good move IMO. Good luck.
Added 20% more shares today.
Toofuzzy
Yes down only slightly as of now.
maybe it will be manipulated even lower. wouldn´t surprise me at all
SA article: "tremendous opportunity to own a world-class streaming company at a discounted valuation".
http://seekingalpha.com/article/3319855-the-tax-man-cometh-for-silver-wheaton?auth_param=2jtbj:1aq6vc0:4f881b738dd83cde62fb9e5e0cf022a9&uprof=51
That should be true.
18.00 should be fine. The tax "story" while short term issue, should blow over.
I agree and I did buy at $18.11 thinking that was the bottom, but fooled again. I do think all this accounting BS is already factored in the price and I love their business model.
You are welcome. Have a nice weekend.
First Gold Manipulation, Now Silver? - Lead Researcher In Libor Case
video
Jul 09, 2015
http://www.kitco.com/news/video/show/Kitco-News/1018/2015-07-09/First-Gold-Manipulation-Now-Silver---Lead-Researcher-In-Libor-Case
Recently, a source mentioned that the Billionaire investor Ray Dalio purchased about 463,000 Shares of Silver Wheaton Corp.
Canada opts to use the tried and true method of killing the Golden Goose in order to maximize long term fiscal stability. Government types are always on the cutting edge of economic theory!
http://www.reuters.com/article/2015/07/07/silver-wheaton-taxation-idUSL3N0ZN28220150707
Canada opts to use the tried and true method of killing the Golden Goose in order to maximize long term fiscal stability. Government types are always on the cutting edge of economic theory!
http://www.reuters.com/article/2015/07/07/silver-wheaton-taxation-idUSL3N0ZN28220150707
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