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snagglepus
07-16-2010, 11:15 PM
I am trying to see if this is a good investment. I am looking to possibly buy it. Look at the statement from their website below.....

They produce at a "cash cost of negative 6.22 an ounce".......

Silvercorp today is China's largest primary silver producer and has achieved an enviable four-year track record of being the lowest cost producer of silver among its industry peers. In FY2010 (ended March 31, 2010), the company produced 4.62 million ounces of silver at a cash cost of negative $6.22 per ounce.


I'm a little lost.....Not sure what negative cost means...Are they saying that that it cost them $6.22 per ounce to mine?....The stock is only at about the same price....

Any help would be appreciated to help me decide.....

Jerrbear
07-16-2010, 11:28 PM
I am trying to see if this is a good investment. I am looking to possibly buy it. Look at the statement from their website below.....

They produce at a "cash cost of negative 6.22 an ounce".......

Silvercorp today is China's largest primary silver producer and has achieved an enviable four-year track record of being the lowest cost producer of silver among its industry peers. In FY2010 (ended March 31, 2010), the company produced 4.62 million ounces of silver at a cash cost of negative $6.22 per ounce.


I'm a little lost.....Not sure what negative cost means...Are they saying that that it cost them $6.22 per ounce to mine?....The stock is only at about the same price....

Any help would be appreciated to help me decide.....

The negative figure takes into account that their mines produce additional minerals along with the silver (zinc, and others). So when you take into account what they can sell all of those others for, the silver is more than 'free'. Another way to look at it is that they can sell all of those other minerals for so much in total dollars (or Yuan) that they made on each ounce of siver they sold, $6.22 PLUS what they got for the silver. I believe they are required to sell it all to the Chinese government.
I have been a shareholder for about a year and made a good profit so far.

snagglepus
07-16-2010, 11:38 PM
The negative figure takes into account that their mines produce additional minerals along with the silver (zinc, and others). So when you take into account what they can sell all of those others for, the silver is more than 'free'. Another way to look at it is that they can sell all of those other minerals for so much in total dollars (or Yuan) that they made on each ounce of siver they sold, $6.22 PLUS what they got for the silver. I believe they are required to sell it all to the Chinese government.
I have been a shareholder for about a year and made a good profit so far.

Thanks for your reply....Sounds good to me....I bought some today and would like to buy more for the longer term... I would like to see the 10 and 20 DMA cross over the 50 to the upside....then I will load up....do you have any targets in mind?

Larso3
07-17-2010, 08:34 AM
Thanks for your reply....Sounds good to me....I bought some today and would like to buy more for the longer term... I would like to see the 10 and 20 DMA cross over the 50 to the upside....then I will load up....do you have any targets in mind?

I hold SVM as part of my core long positions, regarldess of short-term markets. I add and reduce since SVM has pretty high volitility, but my core position stays.

Enjoy the ride - I'm a fan of SVM

DanChan
07-18-2010, 10:14 AM
The negative figure takes into account that their mines produce additional minerals along with the silver (zinc, and others). So when you take into account what they can sell all of those others for, the silver is more than 'free'. Another way to look at it is that they can sell all of those other minerals for so much in total dollars (or Yuan) that they made on each ounce of siver they sold, $6.22 PLUS what they got for the silver. I believe they are required to sell it all to the Chinese government. ...

All of this is true. And I was trying to buy some shares at $6.00 in the latest dip. But their claim of having the lowest cash cost of -$6.22 is a bit disingenuous because they don't sell their silver on the international market for prices based on spot. They're a captive producer in China where the yuan, or RMB, is set artificially low.

They have to sell all their silver (and probably other production) in China at a price set by the Chinese government. Their SEC reports should say exactly what they're paid and in what currencies.

snagglepus
07-18-2010, 05:11 PM
All of this is true. And I was trying to buy some shares at $6.00 in the latest dip. But their claim of having the lowest cash cost of -$6.22 is a bit disingenuous because they don't sell their silver on the international market for prices based on spot. They're a captive producer in China where the yuan, or RMB, is set artificially low.

They have to sell all their silver (and probably other production) in China at a price set by the Chinese government. Their SEC reports should say exactly what they're paid and in what currencies.

So whatever their selling price is to the Chinese gov, which could be way low, will that affect the stock price?

TradingTrends
07-18-2010, 06:03 PM
My thoughts on SVM for what they're worth. I'm going to add this to my weekly - this looks like a quality stock that could do extremely well when the metals begin to move again.

http://trading-trends.com/custom/05212010/05282010/SS_SVM.png

snagglepus
07-19-2010, 10:24 AM
My thoughts on SVM for what they're worth. I'm going to add this to my weekly - this looks like a quality stock that could do extremely well when the metals begin to move again.

http://trading-trends.com/custom/05212010/05282010/SS_SVM.png

You look to be right on....I am waiting to add some more.....just bought for the first time on Friday..

TradingTrends
07-19-2010, 10:35 AM
That's why I love technical analysis - it takes the emotion out of it. This will be a great pick up at lower prices.

Vangruv
08-09-2010, 06:46 PM
Anyone have any recent comments on this one?

opiumbox2000
08-09-2010, 07:11 PM
I am LONG

Have been trading SVM for 2 years now

LOVE it

And EGO is good for GOLD

tenashus1
08-12-2010, 08:55 PM
Great earnings today!

Desert Diamond
09-14-2010, 09:22 AM
I am LONG

Have been trading SVM for 2 years now

LOVE it

And EGO is good for GOLD

+1

i agree

i have owned EGO for over a year now and i bought SVM back in december of last year :)

Gold Bouillon
09-28-2010, 01:56 PM
Everything silver is up today. Except SVM which is down despite record silver prices. I've noticed that over that last few days SVM hasn't been it's usual high-beta self either.

What's up? Could it be the trade troubles that are brewing between China and the US & Japan?

BOiPiNOi604
04-05-2011, 11:15 PM
Unloaded my GPR and EXK positions for SVM
I see profitibility in this stock... providing you are willing to take on a china miner

puregold
04-06-2011, 10:07 PM
Unloaded my GPR and EXK positions for SVM
I see profitibility in this stock... providing you are willing to take on a china miner

I sold this morning at the pop above 16. Looking to buy back fairly quickly. A couple of minor gaps possibly can be filled before moving higher. Likely get a brief breather here while Blythe puts up a fleeting blockade at silver $40. A silver retest of former resistance after a breakout is not unusual.

BOiPiNOi604
04-06-2011, 11:28 PM
I sold this morning at the pop above 16. Looking to buy back fairly quickly. A couple of minor gaps possibly can be filled before moving higher. Likely get a brief breather here while Blythe puts up a fleeting blockade at silver $40. A silver retest of former resistance after a breakout is not unusual.

If that's the case, I have left some dry powder to load up some more during those corrections.

puregold
04-08-2011, 03:05 AM
Bought back below $15.50 on news of Gaddafi attacking oil fields. Precious metals were showing no follow-through to the downside. Not the time to be on the sidelines.

opiumbox2000
04-08-2011, 06:37 AM
SVM, SLW and my newly added position of EXK are all core holdings that can be traded or invested long . . . imho

BOiPiNOi604
04-09-2011, 02:00 AM
SVM, SLW and my newly added position of EXK are all core holdings that can be traded or invested long . . . imho

I like SLW it's profitable but I chose SVM because I see a better buy

ChainSawDave
04-09-2011, 09:18 AM
I like SLW it's profitable but I chose SVM because I see a better buy

agreed, and it seems as though SLW might be yielding it's price gain % leadership to some of the other silver stocks.

My homework asignment for this weekend is to do comparision charts of SLW vs the other silver miners for the last 30 days.

SVM, EXK, and suddenly PAAS have demonstrated incredible explosive one day UP moves. Meanwhile, even SSRI has been finally getting some legs under it.
The SLW story is old by now and in the new HOT clamor for all things silver, - - the newcomers will jump into SLW as it's the most heralded and well known silver stock of this bull market.

But the market rarely rewards the obvious choice the most.

Bottom line, to do well in PM stocks, especially silver stocks, probably the most prudent thing to do is to buy 10 to 20 of your best picks and give them ALL and equal % allocation in you portfolio so as to spread out the risk in case any one in particular turns into a horror story.

Though I've scaled back on SLW, I still have way too a high % allocation of it. I was luckly and dumped a large % of HL before it crashed month ago.

Just not good to have too much of any one thing because all your doing is gambling that that one thing will get lucky and be THE ONE that goes up the most.
And I have been guilty of doing exactly that.