Apologies if this has been done to death in previous threads, but I am curious to know posters' thinking on the relative merits of investment in either company. Quite a few posters post to both boards and declare they hold both.
CNJ is the pure cobalt play, if that is what you are here for.
CNJ seem to simply be the same as BAR minus the BAR gold holdings.
BAR and CNJ price moves up and down together - but not in lock-step. The implicit valuation of the gold assets derived from their relative SP, changes quite a bit when the price curves diverge.
If there is a BAR CNJ Galileo JV, an equivalent value holding in CNJ will deliver more shares in the JV co, as you will hold more CNJ shares for that amount invested and also there are fewer CNJ shares on issue.
The gold holdings don't seem to have the upside of the cobalt holdings in the medium term (or am I wrong in that??). But the gold holdings could be sold off to to a gold specialist to provide cash to help fund the JV and therefor provide more than the equivalent equity that would be provided by the CNJ side of the JV.
Gold is likely to spike in value if there is a Trump trade war, so the short term upside just now might be better for BAR given their gold assets??
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Apologies if this has been done to death in previous threads,...
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