The first thing I look for when investing in a company is its management and its potential both in the short term and longer horizions.
$MUX has a key advantage to other Junior miners becuase its led by Rob Mcewen the X ( ceo ) of Gold Corp. Rob has a wealth of industy experience and unlike most CEO's his interests are closely alligned with his share holders. He only takes $1 dollar a year, no bonus or no options to be the ( CEO ) of MUX . His success just like his investors is based on the company suceeding, he has a 24% stake in the company which he paid about 133 mil dollars for. This is almost unheard of on Wall St where CEOS are usually richly compensated on the backs of shareholders.
#1 The biggest reason I want to play a well run Gold company is simply because I think #Gold is going to surpass 1750+ in the next 3-6 months and want exposure to particiapate in that rally
* Some reasons as catalyst for Gold*
1. China a gold back Yuan for oil
2. Geopolitical N. Korea Iran etc....
3. Market Crash - If a correction happens gold offers that flight to safety vehicle.
With the recent acqusition of the Black Fox and recent news of Gold Bar heading into production, should be a banner year for MUX to ramp up production into 2018 and beyond.
"Buying the Black Fox Complex provides fantastic synergies with our recently acquired Timmins deposits. Our objective is to build a long-term production platform with a robust pipeline of production, development and exploration assets, all feeding into a single processing facility. This acquisition will add immediately to our gold production, but is just the beginning of a new chapter of growth for McEwen Mining,” said Rob McEwen, Chairman and Chief Owner. “Black Fox comes with a talented operating team, an underground mine producing 50-60,000 ounces of gold in 2017(1), a processing facility with excess capacity, two future development opportunities, and excellent exploration potential. Combined with our existing portfolio of Timmins deposits, I believe this is a logical and potent combination.” Rob Mcewen
$MUX NO DEBT and 60 Mil in liquid Assets
Technicals : I believe $MUX to be setting up for a breakout move, in the advent of a general market top then crash, expect we will also see a transition to commodity sectors starting any day, so $MUX should benefit as well from that exposure.
The chart is signaling a breakout over the 2.30 and 3 level to come in the short term, with 18% short interest I believe a 3 dollar break could send this another 100-200% ++ , with the thesis that price of gold breaks 1400+ by years end and considering the huge short interest in the stock. A price target of 5-10 seems attainable in the next 12-16 months if Gold price can surpass 1750-2000+++
This is my second Idea I posted here, my first idea delivered over 200% + so far. Its all my opinion and you should do your own research, none of this should be construed as investment advice.
I am currently long in $MUX or will be very soon , and my position might change at any time. $MUX current price is 2.09