Wheaton Precious Metals Corp (WPM)

[rayank]

SLW: "One incredibly attractive selling point of Silver Wheaton is that it negotiates all of its contracts over the long term at a low fixed cost. Because of these contracts, Silver Wheaton is able to purchase most of its silver at a fraction more than $4 per ounce and gold at around $400 per ounce, then turn around and profit from the difference between these prices and current silver and gold spot pricing. It would take a huge drop in metal prices for Silver Wheaton not to be wildly profitable.

Silver Wheaton is also absolved from any additional mine costs beyond its up-front payment and perhaps build-out milestone installments. Upkeep and maintenance, as well as future expansion, are fully the responsibility of the mine owner and not Silver Wheaton.

With predictable costs, a decent yield of 1.8%, and long-term built-in cash flow, there aren't too many reasons for short-sellers to be excited here."

http://www.fool.com/investing/general/2013/12/23/shorts-are-piling-into-these-stocks-should-you-be.aspx#.UrmUTfuozSg