Smitter I heard you from the beginning. What you meant, was price (PPS) was under-performing relative to value.
The market is misunderstanding GORO for the following reasons.
2014 Q3 HIGHLIGHTS
- 17,262 ounces AuEq mill production
- 11,923 ounces AuEq sold but costs based off line 1
- 5,878 ounces AuEq of high grade gold and silver concentrate produced and stockpiled in ending inventory
Reid "We stockpiled much of our high-grade gold and silver concentrates produced during the quarter in preparation for pouring Dor bars in our new Dor facility, which we began commissioning at the end of the quarter and which increased our unsold inventories. We recorded a $(0.03) per share loss which was contributed by unsold concentrate inventory as a result of stockpiling the high-grade concentrates for the Dor facility process. These inventoried ounces are planned to be processed and sold during the fourth quarter as Dor bars. By expanding our production methods, we expect to lower our treatment and royalty costs for the Dor ounces sold further optimizing operational costs"
What we have above, is good news that the market has viewed as bad news
Earlier, there was Hochschild's relentless dumping of 17% of the total outstanding shares
Then there's the conspiracy part.
Ever notice GORO doesnt have many analyst covering them, nor do you see GORO in many comparisons.
I think this is due to the fact that GORO has nearly no use for the banks or other funding institutions. They keep the share count low without the low priced financing's.
They are organically growing production, growing production capacity, growing resources, growing cash, buying exploration property's and shares, and still paying the divy with the low price of gold. My kind of business.
Switchback should warrant a production decision any day now. That will help fill the extra processing capacity they have.
Being about the only solid company, that hasn't partaken in the post tax sale rally.
Having these catalysts is a Nice set up. With GORO, I feel good to tuck them away and just wait. Wont be long and these $3.50 shares will be earning a 33% yield on the divy alone and we know where that going to take the PPS.
Checkmate28
