There’s Something Worse than Having a “Losing Position”

Editors Note from Dudley Pierce Baker This is a great article written by David Smith over at The Morgan Report and appearing on 321Gold. All of us can learn from this read. When finished, visit us at http://CommonStockWarrants.com for alternative ideas and approaches to making money. _____________________________________________________________________________________________________     David H. Smith Posted Jan 28, 2016 There’s something worse than giving up at the bottom… There’s something worse than watching prices fall as you continue to add on the way down… It’s giving up “three feet from gold,” when if you had just stuck it out a bit longer, things might have turned your way. This tendency is part and parcel of human nature, and its effect is not to be underestimated. Way back in 1938, Napoleon Hill wrote about it in the classic book, Think and Grow Rich. Consider what his research uncovered. Said he: More than five hundred of the most successful men the country has ever known, told the author (Napoleon Hill) that their greatest success came just one step beyond the point at which defeat had overtaken them. Failure is a trickster with a keen sense of irony and cunning. It takes great delight in tripping one when success is within reach. When the precious metals make a turn to the upside that really holds, one of two things is going to happen. Either the price trades sideways for awhile, building higher highs and higher lows into a bona fide uptrend, or there will be a … Continue reading

How to Calculate the Value of Stock Warrants

January 27, 2016 Editors Note: We find this article interesting from The Motley Fool but we use a different approach to valuing stock warrants, an approach which was used by Sidney Fried and written up in “The Speculative Merits of Common Stock Warrants”. You can have a free copy by clicking here. Dudley Pierce Baker, Founder and Editor of http://CommonStockWarrants.com     Understanding the intrinsic value of these specialized securities is crucial to price them properly. Motley Fool Staff (the_motley_fool) Jan 17, 2016 at 7:03PM Most stock market investors focus on ordinary common shares of a company’s stock, but there are other types of securities that can give investors different types of exposure to a company. Stock warrants offer investors a leveraged opportunity to profit if the underlying stock rises in value, but each warrant has different terms that investors have to understand to calculate its true value. Let’s take a closer look at stock warrants and how to value them.The basics of stock warrants A stock warrant gives the holder the right to purchase additional shares of stock at a specified price within a certain time frame. The warrant doesn’t obligate the holder to buy, but rather merely gives the holder the option to do so. Because the warrant isn’t mandatory, its value can never go below zero. There aren’t any standardized guidelines for structuring warrants, so each warrant has unique characteristics. Some companies allow warrant holders to buy one share of stock for each warrant owned, while others … Continue reading

Inception Mining's Diverse Batch of Assets Offers Production Now, Growth Later

Inception Mining is producing gold at its Clavo Rico operation in Honduras and is preparing to begin contract gold mining at its U.P. & Burlington project in the mountains of Idaho. Add in resource expansion and some exploration upside in Nevada and you have a story with lots of interesting angles. Inception CFO and Director Trent D’Ambrosio shares with The Gold Report his company’s plans to boost production and expand mine life at Clavo Rico. The Gold Report: The Inception Mining Inc. (IMII:OTCQB) home page describes the company as diverse, agile and efficient. Why do you want readers to think about those specific words when they think about the company? Trent D’Ambrosio: Diversification is critical in today’s metals markets. Inception Mining currently has a producing facility in Honduras, a development-stage project in Idaho, and plans also include expansion of our existing resources and increased exploration efforts in Nevada. Those actions, we believe, will allow us to remain agile. We have the ability to scale some of our projects up or down depending on commodity prices and market conditions. One asset, the U.P. & Burlington project in Idaho, is fully outsourced, which allows us to effectively manage overhead by actively working on the project as we see fit. TGR: In which ways is Inception efficient? TD: We started when the majority of junior mining companies were struggling, so we had to focus on being more streamlined and cost conscious. We did that by utilizing a manufacturing model and fine-tuning production and … Continue reading

Which Energy Companies Are Being Added to US Global Funds in Anticipation of an Oil Rebalance?

There are still winners in the energy space, but you have to move quickly. In advance of the rebalance U.S. Global Investors CEO Frank Holmes is expecting toward the end of 2016, he and analyst Samuel Pelaez point to the sectors taking advantage of opportunities, including refiners, midstream MLPs, low-cost producers, airlines and chemical companies. In this interview with The Energy Report, they name their favorites and outline the fundamentals that will make 2016 look a lot different than the year that just ended. The Energy Report: In a recent Frank Talk, you quoted BCA Research with a prediction that oil markets will rebalance in 2016. What is that based on? Samuel Pelaez: This chart shows that the U.S. has come off its peak production quite a bit. We reached peak production in April at about 9.6 million barrels (9.6 MMbbl). We’re about 400 thousand barrels (400 Mbbl) off from that level. This goes a long way to rebalancing the supply/demand dynamics globally. Even though the U.S. has been a major contributor to rebalancing the supply in the markets, we have not seen the supply come off to the levels we were initially expecting. We thought about 1.2 MMbbl could be curtailed, but only managed to get about 400 Mbbl. “BNK Petroleum Inc. has been able to squeeze more oil out of every well in this play than anybody predicted.”—Samuel Pelaez One reason for the continued production is that banks are pressuring explorers and producers (E&Ps) to bring in cash … Continue reading

Postmedia strikes deal with Mogo to swap ad space for revenue share - The Globe and Mail

Postmedia strikes deal with Mogo to swap ad space for revenue shareThe Globe and MailPostmedia will also receive warrants giving it the right to purchase up to roughly 1.2 million common shares of the company over a five-year period, subject to various conditions. If this experiment works, Postmedia may be open to other similar deals …Postmedia Network Inc, Mogo Finance Technology team up for marketing, revenue sharing agreementFinancial Post all 27 news articles …read more … Continue reading

Skyline Medical Commences Unit Exchange Offer for Outstanding Units Issued in July 2015 - GlobeNewswire (press release)

Skyline Medical Commences Unit Exchange Offer for Outstanding Units Issued in July 2015GlobeNewswire (press release)Each Exchange Unit consists of 2 shares of common stock, 4 Series B Exchange Warrants and 4 Series C Reset Warrants (together, the “New Warrants”), with the New Warrants to be listed for trading. The New Units will immediately separate upon issuance … and more …read more … Continue reading