Bottom line is this: the fundamentals of the stock are very...

Bottom line is this: the fundamentals of the stock are very good.

Any stock with good fundamentals that ive ever held has ALWAYS bounced back if it was sold down

Every stock with good fundamentals ive ever held has come back even if there was a short-term problem that needed fixing

You may say mining stocks are different, but when I look at the fundamentals of all the other mid-tier zinc stocks like KZL, CBH, TZN, INL - Id have to choose PEM over all of these.

Has higher EPS than all; lowest P/E; has mountains of cash (which if you take away the cash per share away from the stock price ala fed-ex does in his analogy you get an even lower P/E); pays higher divvy per share and this is slated to grow even more; has a decent growth profile.

When you take all the above into consideration and compare and contrast PEM with the rest, id personally pick PEM.

I also hold a small parcel of KZL.

CBH has also suffered, but its history with the mine collapse and all is hurting it now that zinc isnt the flavour of this month. This yr forecast for CBH makes it on a higher PE than PEM.

PEM trades on the lowest PE and has the best fundamentals + pretty good growth profile.

So thats why it makes sense to me.

I only hold a small parcel slightlty under 5000 shares and my INTUITION tells me that much like copper, zinc will make a comeback.

Lead price also fell last yr but came back big

Its all cycles

Theres question marks now as to the future of zinc price and zinc stockpiles so the PURE zinc plays that have run hard are suffering.

Once they pull off production ramp ups, i think the mkt can give a stock with these kind of fundamentals a PE of 7 ala KZL.

80 cents per share+ with a prospective EPS multiplied by 7 = $5.60 base case.

Zinc price goes up so does the equation above

Im holding cause divvys are payed nowadays and I think the fundamentals for ALL metals are good cause china factor PLUS dont forge the OLYMPICS are slightly less than 1.5 years away!

I reckon theres PLENTY of work to be done in this short period of time b4 mid 2008, and appetite for metals will be stellar this yr due to this factor alone

I see COPPER is now staging a comeback

ZINC may drop, may not - doesnt matter guys............cause long-term the fundamentals are there for all metals and im holding for long-term.

PEM IMHO is the best exposure to lead/zinc at the moment from all the small-medium players