It's been a while since my last post, and whereas I try to learn facts from HC postings, the recent contributions from members have served as a study in psychological behaviour more so than of a fundamental one.
Firstly, let me state as I have before .... ad nauseum... that I have been a continuous holder of this stock for over 5 years and feel very qualified to make my points, as impatience cannot be attributed to me in any way.
Let's reiterate the facts that we all agree upon.....
1. EXM has a minimum of 1.2million ounces gold in ground.
2. In ground value is in the vicinity of Aust $1.4 BILLION.
3. EXM has Copper deposits ( always seems to be ignored).
4. EXM should attract a takeover price/share circa 6-8c. ( if takeover should eventuate )
5. EXM has $10,000,000 in the bank.
6. EXM is embarking on more concentrated drilling aimed at INCREASING previously stated results.
In my experience.... some 45 years involvement with the stock market... any penny dreadful stock that can raise $10,000,000 .... especially in times of great caution... has either a Managing director with superlative sales skills or he knows people who recognise a good story when they see one.... people who recognise gross undervaluation.... people with the resources to take advantage of market concerns and market conditions. Oh, if I could be in that position at this present time.
How many penny dreadfuls are there out in the market place that enjoy a higher share price... based on hype alone... no money ... no positive drilling results...no prospects...
The angst I read at the moment is exactly what I was referring to in an earlier post wherein I stated shareholders would soon forget EXM's fundamentals... before falling victim to impatience. Personal "clashes" will occur... bushfires will be started... management will incur the wrath of savage criticism.... would-be holders will become impatient sellers......
WHY???
Because the level of expectation of the share price increase is TOO HIGH... TOO SOON.
The market currently naively values EXM in the region of 1.2 cents.
SO WHAT!
Management cannot be held responsible for the way the market reacts. The market cannot evaluate the success of a Board that has been put in place 5 minutes ago. This Board has acted swiftly and successfully ... as far as I am concerned. The new MD has ,perhaps, erred in stating a time line for drilling to commence... and has been let down for reasons outside his control. Indeed, as a former CEO of a Company... I can state this does occur on a not too infrequent basis. One gives his word on something in order to keep everyone informed and later finds himself knee deep in alligators, wiping egg from his face.... BECAUSE his well intentioned transparency was given the kybosh by someone else.
If TL had not advised us of the drilling program, he would be accused of not keeping the shareholcers informed.
Give the man some slack.... it is in his best interests as well as ours, to get the ball rolling.
One thing seems certain.... shareholders who currently whinge and whine have no intention of waiting for the BIG reward.... they will sellout at the slightest sign of a profit. Those same "smarties" will dive straight into a thimble sized profit and will indeed be left "smarting".
THEN they will have reason to whinge.... NOT BEFORE.
We are going to make money, lots of it.... but only if we ride it out. When will I sell? .... I have no idea... but it sure as hell aint goin to be now.
How often HC posters state words to the effect... " I would be far better off selling this crap stock and getting into something that will make me money". Wouldn't we all.... I, for one, don't know of a stock that is GUARANTEED of rising NOW... I know plenty that MAY rise and ONE that is very likely to... at a steady rate... in the not too distant future.
Bripoz.
DSE Price at posting:
1.2¢ Sentiment: Hold Disclosure: Held
