Tooli: Im taking the same stance as my broker who reckons in the vicinity of under 50cents - with what we currently know. I think its easily realistic. Could it go higher? of course, depending on what is out there. IGR is a survivor, As a company IGR trades survival over aggression and high risk - some shareholders have not discovered that yet. I also agree that capital structure is always an issue, but more so in companies that are explorers as opposed to producers who may be sitting on great deposits. We have passed that threshold, and are possibly at a point where cash-flow will fund everything else from here ('possibly' the key word). So it becomes all dependent on whats 'down there'.
I guess its all a balance of risk/reward. The main points being that the majority of the funding is now out of the way, actually thats a huge point because it gets rid of most of the risk and uncertainty - and at least now we know where the company stands. The other positive is that we know the gold is there AND that there is easily potential for a lot more. This is also critical because a lot of companys are struggling with mine life - we dont have to travel far to look for more gold. How long shareholders are willing to wait till we find more gold is something that every shareholder needs to determine themselves. It could well possibly be a long while i.e. years - and people that complain should be mindful of that.
In addition we have a management team that errs on the side of caution. Now daytraders hate that because they like fast run-ups at which point they dump. Im a long term holder in most cases, so i prefer honest management that minimises risks - thats another reason why my broker achieves more hits than misses, and thats pretty much the key. If there is more gold down there, then we know we have a management team that will find it. With the funding out of the way i think the downside from current prices becomes limited, of course depending on the gold price.
I agree with lord spesh, people shouldnt get married to stocks. If you think its a sh^* investment then dump it. I like IGR but i have sold over half my holding since first buying in '04. Profits are there to be taken as I have found out during my trading life. However i have supported all the SPP's and issues.
Although im a very cautious gold bug, there is always the possiblity that gold could go spastic over the next few years - hence why i prefer commodities over other investments - holding a good gold producer then would be a bonus.
Disc: We all have different targets, i bought my stock at 8-9cents so my risk/reward profile is different from someone that paid 45cents. I have also learned to move on if something doesnt go my way and admit to situations where i may have paid too much for my stock. Paying 8 cents for IGR wasnt one of those situations.
IGR Price at posting:
28.5¢ Sentiment: None Disclosure: Held
