Coeur d'Alene Mines Corp. (CDE)

[FinancialAdvisor]

It's hard to know what the temperature of the water is without getting your feet wet... and right now with the economy the way it is, and folks selling anything and everything, even truly good companies who will make good on their debt obligations are being sold down for pennies on the dollar.

Basically, I'm saying patience might be in order with this one. I don't see anything that would turn off this company breaking into profitability the second half of next year, but the short-term picture may be clouding the psychology of the market.

Especially with a more than likely reverse-split coming up since CDE has closed under $1.00/share for the past month, since Oct. 16th. With the price currently at .50/share and the Dow nowhere in site of 10,000 - it will be rather difficult to maintain NYSE listing standards without a reverse split.

This is great long-term if the company can make good on their debt obligations since it will greatly reduce the shares outstanding depending on how deep of a reverse-split the company does.

My opinion is nothing less than 4-to-1 and nothing greater than 10-to-1. Essentially cutting the share count anywhere from 10-25% of the current count.

The share price of companies who reverse split typically drop into and after the reverse-split. Not always, but from what I've seen in my young years of following the market, this tends to be the case more often then not.