Ok.. Time for some bullshit, AKA my opinion.
This recent action won't be shaking me out of my tree any time soon as a holder who maintains a longish term outlook.
At these prices I'll be at the bottom of the tree trying to catch what falls, Hoping to add another 150k or so in the next week or two if it stays down like this, so please, shake it like hell. Most of the negativity around this Co and goldies in general seems to me to only make sense if you have a short term view.
DEG isn't making any money at all at the moment, so the price of gold today doesn't really worry me. Its not like its going to effect the profit margins any time soon and with $70M in the bank we don't have to raise any money urgently in the near future. There is plenty of time for countless other events to come along and give us a lift in the meantime. If you have a short term outlook go ahead, shit your pants if you haven't already and sell. Its scary and very volatile right now but please don't hurry back. The less fickle skittish holders the better.
The gold miners seem to be a victim of the gold price and sentiment not because they are bad companies per se but because all the growth stocks and their ilk are attracting all the attention at the moment. The growth stocks etc are the ones are wearing butt floss bikinis, flaunting themselves amongst inebriated cashed up crowds and are flying due to the excess money that pay for their ever growing bubbles. The irony is that many of the gold miners are actually making pretty good money,as in profits (remember when people cared about them?) at the moment, despite tepid growth of late. On top of that gold and gold miners are at historic lows by many relative measures, so with an explorer if you can stomach the risk you have a nice geared exposure to what I think is an inviting macro landscape in the near future.
Sooner or later,~ I think sooner, common sense will prevail. Reality will dawn that bubbles can not go on forever, other factors will combine and give weight to reason. The Goldies will re-emerge, dressed as always in Safety orange with stunning reflective silver highlights, wearing grim faces capped by unnecessary white plastic hard hats that protect souls that have had the humanity crushed from them, having recently endured endless petty regulation, airport queuing,form filling and having been subjected to a battery of mandated psychometric torture tests, fluid samples and body cavity invasions in the name of Covid/safety. They fittingly arrive every day like clockwork, with a complete lack of style in the chariot de jour ~ a white diesel toyota,- Poverty pack edition.
The point of my waffling is that these men and woman are not the show ponies of the stock market but the trojan worker ants. They get up every day and just keep marching. Spray them if you want but they will keep coming. They will shield us from the crypto crashes, the financial implosions, the Nevergrandes, the inflationary evaporation of our purchasing power and the return to something closer approaching reality. These people do real things, ultimately will produce real stuff that will eventually translate into real wealth for those who hold tight. I like to think that they are the metaphor for the gold mining companies on disallowed..
The music at the FED will stop at some point.. Growth stocks that have no income or were floating on hype will have shareholders running for the hills as they take a dive. Inflation isnt transitory or if it is some other form of 'flation that is possibly friendly to the gold price will prevail, be it stag, dis or de. I think when all this happens the gates to Degrey will slam shut very fast and if youre not on board, tough luck. You'll have to speak to Elon @ SpaceX if you need to visit us after that point cos we'll be up there somewhere.
I hope we'll have our own Big Bad John on our side holding us up against the odds..
Like that quote from Marylin Munroe.. " if you cant handle me when Im at my worst, you dont deserve me when I'm at my best".. Or something like that. Thats Degrey..
Anyway.. In the presence of much negativity lately, that is my positivity.. Im no expert but I'm actually pretty happy about it all despite all the mayhem at the moment..
Good luck whatever you choose to do..
P
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