EMO.v – Emerita Resources: A Coiled Spring With a Hard-Asset Backstop
CRUSHED – BUT NOT BROKEN IBW is the engine. Nebari is the backstop. Aznalcóllar is the upside kicker. The macro…
General Investing
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The Renewed Importance of Big-Money Backers in Microcap Investments
There’s an old maxim in microcap investing that encourages investors to jump in when there’s “little to no” institutional ownership. While there’s still merit to this saying, in today’s high-interest environment, “little” might just be more advantageous than “no.”
Leveraging Emerging Market Trends
Given the benefits of the sector-based approach, why not try to find sectors and subsectors that no one else seems to be paying attention to? That is, newly emerging sectors and subsectors that are starting to build a new market with companies that might not be on anyone’s stock picking radars yet? The idea being that as the new market starts gaining traction with the public, the sector/subsector starts getting noticed by investors, and those companies supporting it start reaping noticeable share price gains. Investors who get in early under this scenario are often in for a wild, profitable ride.
A Quick Guide to Investing in Microcap Mining Company Stocks
Along with following the lead of mining industry experts, we seek out mispriced risk that is underpricing the assets and offering us bargain-basement share prices. This can often happen when a microcap mining company is starting to ramp up operations and releasing initial exploration results. In many cases, the share prices of such companies can be subdued during these times due to capital-raising induced dilution and investor hesitancy. Such hesitancy is typically fostered by investors thinking that it’s too early to jump in and that there will be plenty of time to get in once the company offers more definitive proof of their claim(s)’ value. Not that such thinking can result in a case of missing out in the blink of an eye, but an earlier entry can definitely prove far more profitable than jumping in when news drives the investing herd into play.
The Free Trade Report; Inaugural Edition
Stay up to date with recent and upcoming share unlocks. This first edition covers share unlocks in the psychedelics sector.
Upcoming Share Unlocks: What to Do and How to Know
As noted in our blog, “Share Structure: Using it to your Advantage,” locked up shares and their subsequent unlocking affects available float and trading liquidity. In fact, the available float in many microcap companies is kept artificially low during the first six months to a year after an IPO due to lock lock-up agreements. This can help boost share price gains during the early days, but can put the brakes on momentum when shares are unlocked.
WTFlation!!! (Inflation, Deflation, Disinflation, Reflation, Stagflation)
Investing is about anticipation, or predictions about the future. Like it or not, the government is a major player in the financial markets – and in a number of ways. Not only do they intervene when necessary they also set policy, like taxes, to incentivize both businesses and individuals to stimulate the economy toward growth.
Being Right First – Inflection Investing
Often the clues pointing to a shift in profitability of a company or companies in a sector are signaled slightly ahead of time and go under the radar of many investors. This is especially true among microcap investments as there are few analysts researching the mechanical levers influencing their top and bottom lines.m
The Momentum Letter 2020 Recap
Let’s recap the share price gains and then we’ll provide a snapshot update of each company’s recent activities and news. As of the last full week in February, if you had invested in these companies when we first profiled them, your percentage returns would be
Share Structure: Using It To Your Advantage
We suggest that you consider share structure as both a backward-looking litmus test and as a forward-looking assessment of volatility. Share structure analysis provides the most benefits from the former and represents a relatively quick and easy means of gauging company strengths and weaknesses that can otherwise be assessed by more comprehensive analysis. If a microcap company’s share structure is tight and not displaying any red flags, it provides reasonable support (a Bayesian indication) that company management is aligned with shareholder interest.
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