Archives — February 2013 back to current month (62)
With its wide open plains and existing infrastructure, services and workforce, North American oil and gas development is attracting admiration around the globe—and prompting other countries to scratch beneath the surface in search of their own shale revolution. Peter Dupont, oil and gas analyst at Edison Investment Research in London, tells The Energy Report why the U.S. and Canada have retained their lure and discusses vast untapped potential in a number of developing international plays.
Gil Van Bokkelen has been in the stem cell industry for more than a decade. In recent years, the co-founder, chairman and chief executive officer of Athersys Inc. has stepped into regenerative medicine’s forefront, acting as a spokesman for the industry as well as demonstrating his love of science and passionately advocating for patients. In this interview with The Life Sciences Report, Van Bokkelen explores the past, present and future of the cell therapy and regenerative medicine industry, and outlines the investment possibilities in small companies on the sector's cutting edge.
"The gas rig count in the U.S. has dropped by more than half in the last 18 months, but production continues at record levels. Why is that?"
You will not find it in the dictionary, but a company's "optionality"—the condition of having choices—signals its chances of success according to Dr. Michael Berry. In this Gold Report interview, Berry, the editor of Morning Notes and discoveryinvesting.com, talks about junior mining firms in Nevada and Mexico that display optionality and sustainability in a market stuck in the mire.
Even in a depressed gold market, knowing your catalysts in mining stocks is indispensable and is still the fundamental yardstick for buy-sell decisions. Senior Analyst Jocelyn August of San Diego-based Sagient Research understands the impact that events can have on your portfolio, and she has mastered the art and science of fortunetelling by keeping an eye on the calendar and those occurrences that will move shares. In this interview with The Gold Report, August discusses top ideas that should move investors out of winter and into stocks with a shiny golden future.
Casey Research investment strategists weigh in on how to play precious metals in the current bear market.
Most investors have a tough time standing apart from the crowd. That's why Jeb Handwerger says, "To be successful in the market, 99% of the people have to think you're wrong." While most investors are chasing overvalued equities, the smart money is acquiring assets that will benefit from the next uptick in inflationary pressures. In this interview with The Metals Report, Jeb Handwerger, editor of Gold Stock Trades, explains which investments will benefit most from the coming "risk-on" trade.
James West: Oil and Gas Beats Mining Hands Down (02/26/2013)
Interest rates may be near zero, but financing big projects is still tough for most mining companies. That's why James West has switched his focus to energy investments, where the payoff is often much faster. In this interview with The Energy Report, West explains why intermediate-term energy opportunities have become his sweet spot.
Time to Buy Precious Metals Now (02/25/2013)
"The technicals show the precious metals complex as extremely oversold and nearing strong support."
In order to make wise investment decisions, gold investors must coldly assess economic realities, says Eric Coffin. As the publisher of Hard Rock Analyst Advisories, Coffin tracks a range of gold explorers with the bling to weather the long capital drought. He has figured out how to separate the winners from the losers and, in this interview with The Gold Report, he shares the names of some strong ventures.
"Global iron ore trade faces major disruptions as cyclone Rusty bears down on Australia's Pilbara region and its shipping ports."
"If you're one of the millions of investors trying to find decent yielding income investments, there's one place you should be looking—Master Limited Partnerships."
Taking inspiration from George Orwell's "1984," renowned BMO advisor Don Coxe has coined the expression "Weakness is Strength" to describe the current economic situation. In a far-ranging interview with The Gold Report, Coxe explains how an international regime of weak currencies has set the scene for an upsurge in the price of gold shares. He believes that gold will return as a preferred hedge against loss of value because inflation is inevitable.
Henk Krasenberg, founder of the European Gold Centre, is back from the INDABA Mining Conference in South Africa with plenty to report. He has seen a sea change in mining in Africa over the last few years; countries are growing more confident and have a greater awareness of mining's potential. In this interview with The Gold Report, Krasenberg provides a European perspective on a whole slew of miners working in Africa, as well as in all corners of the world.
How Strong Is Gold Demand? (02/22/2013)
"Gold's price action has discouraged some investors, but others are still purchasing the precious metal in record amounts."
Growth in the medical technology industry may have slowed, and governmental hurdles may make the forecast gloomy, but value plays await the investor who understands how innovation can drive company stock prices upward. In this interview with The Life Sciences Report, William Plovanic, analyst and managing director with Canaccord Genuity, talks about his top names in medtech and why he believes investors need to take advantage of the slowdown now. He also ruminates on the potential effects of Obamacare's impending implementation.
Don Coxe: Take Advantage of Energy Sector Upside (02/21/2013)
There are many reasons to be bullish about energy resources, says commodity investment specialist Don Coxe. He treats The Energy Report to a downside-upside tour of the recovering financial system, bearing good news for energy investors. Find out which sectors Coxe says are on the move.
If you look very closely, you'll find some big players in the energy market sinking a lot of dollars into some very unconventional plays. Mat Wilson, an analyst with Pinetree Capital in Toronto, is following a trail of billion-dollar shale exploration and development investments from Canada to Texas and South America. Wilson tells The Energy Report which small-cap names are linked with hefty, large-cap investments and why they stand to benefit.
"Fighting the flu is a big part of the roughly $30B vaccine industry. It's a battle that puts roughly 200,000 Americans in the hospital each year."
Mark Raguz: Technical Best of Breeds Still a Value (02/20/2013)
The market may be turning a blind eye to value, but Mark Raguz, an analyst with Pinetree Capital in Toronto, can see just fine. Companies with cash and strong management continue to go unrecognized, Raguz tells The Gold Report. He is targeting companies that are "best in breed" technically, and waiting for an uptick in the market to sweep them into higher valuations.
Where to Buy Gold in Difficult Times: Jay Taylor (02/20/2013)
According to the calendar, it is still winter and gold markets still face some tough sledding, says Jay Taylor, host of the radio show "Turning Hard Times into Good Times." Big investors are leaving the market and small investors hesitate to reenter. But in this interview with The Gold Report, Taylor points to some spots where selective investors can find value and growth potential.
Last year's drop in iron ore prices made for a once-bitten, twice-shy market, but Colin Healey of Haywood Securities now sees upside opportunity in junior developers. But there's a catch: Iron ore projects often have big price tags, and investors need to be confident that a company can cover its costs. In this interview with The Metals Report, Healey discusses junior developers that look fit to reach the finish line and explains why partnerships are not financial cure-alls in the space.
Times may be tough for energy commodities, but Encompass Fund Managers Malcolm Gissen and Marshall Berol are hard-core survivors. In this interview with The Energy Report, the dynamic duo share their tactics for winning in 2013 after decades of experience investing in uranium, oil and gas, coal, hydroelectric and geothermal energy.
When It Comes to Gold, Stick to the Facts (02/19/2013)
"During short-term gold corrections, it's important to focus on the facts, including the fact that gold is increasingly viewed as a currency."
"Combining stem cell treatments with RNAi, the hottest technique in molecular biology, opens more possibilities and hopes than ever before of curing degenerative diseases."
Mining companies have lost the trust of investors, says David Baker, managing partner at Baker Steel. Baker sees the gold market as at a watershed point and the miners must change to stay afloat. In this interview with The Gold Report, Baker sets out his prescription for nursing the industry back to health. Will the restrictions his company and other investors are putting on gold companies increase reporting clarity, investor trust and money earned?
Gold Fails to Hold Asian Gains (02/18/2013)
U.S. dollar gold bullion prices failed to hold onto gains made in Monday's Asian session, falling to $1,611/oz by lunchtime in London, just a few dollars above Friday's six-month low, as the U.S. dollar extended recent gains.
John Kaiser: Can the TSX Venture Be Saved? (02/15/2013)
Is the end near for the TSX Venture Exchange, the victim of "algo traders," low volume and lack of institutional investors? If newsletter writer John Kaiser is right, as many as 500 of the 1,484 resource companies listed on the Venture Exchange will go under this year due to lack of money in the bank. In this Gold Report interview, Kaiser suggests that a crowdsourced valuation system may give the investors the information they need to invest with confidence and fend off the proprietary traders.
Currency 'War' or 'Revolution'?—And Gold? (02/15/2013)
"The competitive devaluations of currencies, which has gone on for such a long time—many years in fact—is going to become destructive to real currency values."
Why You Can Bet on Platinum Prices Going Higher (02/15/2013)
"Platinum prices, which have been below gold prices since mid-2011, are once again higher than the yellow metal, and the spread's widening."
Refinery Stocks: What I'm Buying Right Now (02/15/2013)
"There is a definite seasonality to the oil and gas stocks in Canada—and generally speaking, the top is right now."
When it comes to unearthing dynamic micro-cap biotech investment opportunities, Ram Selvaraju is a master. Selvaraju, managing director and head of healthcare equity research at Aegis Capital Corp., has selected nine names destined to attract investors willing to take calculated risks, which he shares in this interview with The Life Sciences Report. He also explains why he expects 2013 will be another good year for the biotech industry.
With energy demand looking up in China and Japan, both coal and uranium are likely to experience an uptick. But which producers will move with prices? Colin Healey of Haywood Securities weighs in on some names that are leveraged to spot prices in this interview with The Energy Report, explaining why it's time for investors to get excited again.
"A combination of rising demand and tension in the Middle East means oil prices will continue to climb."
Big Growth Stories in Biotech (02/14/2013)
Bacteria are pure survivalists, and over billions of years they have evolved to produce ever-newer chemicals to protect themselves against other bugs. In the last 100 years they have begun to protect themselves against the antibiotics that humans have developed from those same bugs. But guess who's winning. In September 2012, the FDA said that more than 70% of the bacteria that produce hospital-associated infections (HAIs) are now resistant to at least one type of antibiotic—and in the year 2000 alone, almost 2 million (2M) cases of HAIs caused close to 99,000 deaths. Too bad the agency didn't give an updated number, because it's a certainty that things are not getting better. Unless a sustainable system is developed to counteract this tide, a catastrophe is just a matter of when, and not if. With not even a tiny bit of exaggeration, the appearance of a devastating superbug is a looming global crisis.
Buy Gold Stocks Like a ROTH Capital Price Taker (02/13/2013)
The risk-reward profile of resource companies resemble those of healthcare and biotech companies, according to Brian Post, an analyst at ROTH Capital Partners, an investment bank dedicated to the small-cap public market. Part of Post's mission is to educate his institutional clients about the value to be found in the resource sector. The value to be found in Mexico as a mining jurisdiction is one of the first lessons he offers. In his first interview with The Gold Report, Post focuses on Mexican silver names and ventures to both North and South America to talk copper.
The Case for Silver Outpacing Gold (02/13/2013)
"A lot of talk on the web right now says silver is significantly undervalued versus gold."
"'If we want to make the best products, we also have to invest in the best ideas,' Obama contended."
The U.S. and Europe may have been skirting the edge of financial peril for years, but Christopher Ecclestone, who is the principal and mining strategist of London-based Hallgarten & Co., told The Metals Report that the gold price should drop this year as investors realize that there's no more cause for panic. However, the frank and expressive Ecclestone has plenty of other suggestions for what's "sexy" this year (zinc, copper and specialty metals), even as he rips into "business as usual" gold majors and chastises any management team with the nerve to offer a 0.5% dividend.
Hiccups, either market- or operations-related, are the norm rather than the exception, especially in the junior oil and gas space. That's why Tim Murray, oil and gas analyst at Desjardins Securities, prefers to invest in management teams with long-term vision and a plan for worst-case scenarios. A stellar balance sheet doesn't hurt, either. In his interview with The Energy Report, Murray shares stories of capable management teams that are rolling with the punches—and rewarding investors who stick with them.
Why You Can Trust Your Analyst Again: Ingrid Rico (02/11/2013)
Within the universe of junior mining companies, investors need to be choosy, says Ingrid Rico, mining analyst at Toronto-based investment bank M Partners. In this interview with The Gold Report, Rico explains how analysts value miners and reveals how she will be looking at junior mining companies in 2013—with a skeptical eye, preferring those funded to complete exploration plans for the year and a management track record to deliver results. She shares names of some companies whose projects stand out.
Big Gains Ahead with Platinum's Neglected Cousin (02/11/2013)
"Let's cut to the chase. We've got a metal play here."
Mining in Ontario: A Dependable Engine of Growth (02/11/2013)
"The past several years have seen investment enthusiasm move away from the supposedly risk-reduced reformulation-of-an-existing/generic-drug model. Innovation—new mechanisms, new targets—are what's going to attract the interest and the money."
There is no economic recovery, and there are no signs that a recovery is coming, says Shadowstats.com author John Williams. In this Gold Report interview, he blames mal-adjusted inflation statistics for creating an alternate reality that overestimates economic activity in a way that is unsustainable. Williams warns that eventually the painful truth will be so difficult that even government manipulation won't be able to deny it and that is when hyperinflation will take its toll on those who have not taken his advice for preserving purchasing power and securing wealth.
Eric Winmill, mining equities research analyst with Casimir Capital, sees great potential for small-cap metals producers and developers in the Americas—home to good infrastructure, skilled workers and great geology. In this Gold Report interview, Winmill also explains how "all-in" cash costs are making it easier for companies and investors to understand—and predict—cash-flow generation and identifies companies that he expects to take off.
"Platinum is breaking out compared to gold as South Africa, which supplies three quarters of world production, continues to struggle with labor issues and possible nationalization."
Master limited partnerships (MLPs) aren't just pipeline builders, nor are they all large caps. Bruno del Ama, CEO and co-founder of Global X Funds, sees significant value in junior MLPs anchored to exploration, production and storage as well as transportation. In this interview with The Energy Report, del Ama talks about a rare bottom-floor opportunity to profit while avoiding the tax and bookkeeping pitfalls of MLP investing.
The Street thinks oil price differentials stem from lack of pipelines. That's only partly true, says Keith Schaefer, editor of Oil & Gas Investments Bulletin, arguing that limited refinery capacity is just as big a challenge. Schaefer expects most investors to be caught completely off guard when the Brent/WTI gap widens and light oil prices plummet later this year, and in his nuanced interview with The Energy Report, he tells us who stands to profit, who stands to lose and why select natural gas companies are getting a lot of love right now.
Eight Biotech Growth Names: Greg Wade (02/07/2013)
The driving principle behind successful biotech investment for Managing Director and Senior Analyst Greg Wade of Wedbush Securities is to find companies with clinical assets that are of value to patients and hence to the marketplace. In this interview with The Life Sciences Report, Wade offers compelling cases for eight important names that span the market cap gamut.
What’s Black, Dusty. . .and Set to Profit? (02/07/2013)
"It’s a coal bloodbath! But it’s also a perfect opportunity to 'buy low.'"
Ian Gordon: Economic Winter Could Thaw Gold Equities (02/06/2013)
Ian Gordon has said it before: We're on the edge of an economic maelstrom that will breathe new life into the gold exploration industry. While his cautionary tales may be beginning to sound like the boy who cried wolf, Gordon, the founder and chairman of Longwave Group, gives some persuasive evidence to support his doomsday scenario for the greater market. In this Gold Report interview, Gordon talks about what he forecasts as an unprecedented period of growth and investment in gold, which is just about to get underway as the market sinks.
What's more important: the size of the acreage or the amount of oil and gas gushing from it? Josh Young, founder of Young Capital Management, sees investors shifting their attention to the latter category. However, Young is more focused on the risk an investment poses compared to its potential reward. In this Energy Report interview, Young discusses which stocks have him particularly excited and why he sees interesting times ahead for oil—and the small caps that produce it.
Kevin Puil: $4/lb Copper Is on Its Way (02/05/2013)
Kevin Puil thinks analysts need to be realistic when it comes to copper. The Malcolm Gissen & Associates portfolio manager points to copper's historic levels at over $3/lb as proof that there are brighter times ahead for base metals as economies around the world continue to industrialize. On the other hand, with economic projects less abundant than they once were, supply is under severe pressure. The good news is, as Puil remarks in this Metals Report interview, there's money to be made for investors who can pinpoint the right projects. Read on to learn who's on Puil's list.
A Different Way to Invest in Natural Gas Stocks (02/05/2013)
"Ask producers about condensate."
"Swiss banks UBS and Credit Suisse, have moved to offer 'allocated' gold and silver accounts to their clients, including high net worth individuals, hedge funds, other banks and institutions."
Chen Lin Places His Bets on Self-Financing Producers (02/04/2013)
The tough financing markets of the past few years have taken their toll on many junior resource companies, as continuing needs for capital have led to dilution and lower stock prices. In this tricky environment, Chen Lin likes to place his bets on companies that can minimize dilution through internal cash flow that helps to finance expansion and exploration activities. In this interview with The Gold Report, Lin talks about how he has played the difficult market in 2012 and where he sees some of the best opportunities in 2013.
"Exports have jumped to a seven-month highs despite the debt issues in Europe and the United States. This rebound in China may be a spark for the undervalued junior miners, which have been in a downtrend for close to two years as economists predicted a Chinese hard landing."
Booms and busts in the economy are based on predictable demographic cycles such as those studied by Harry Dent, founder of HS Dent, chairman of SaveDaily.com and author of "The Great Crash Ahead: Strategies for a World Turned Upside Down." In this Gold Report interview, Dent predicts a global crash between mid-2013 and early 2015, in an ongoing decade of economic coma. For now, gold and gold equities are great investments, but when the crash comes, read on to find out what he suggests will be a good sector until the echo generation enters the workforce and starts buying potato chips and houses.
These days, monetary policy moves stock prices more than economic data releases, says Mike Niehuser, founder of Beacon Rock Research. While the potential for higher gold prices is compelling, the decline in the number of discoveries and grades of resources makes mining stock selection intriguing. Niehuser has scoped out jurisdictions and finds the stars are aligning to put Nevada on top. In this interview with The Gold Report, Niehuser shares the names of companies that he feels have the right stuff.
Consolidation Over? Is Gold at the Turning Point? (02/01/2013)
"I do get the feeling in my bones that the yellow metal’s flat performance of the past 15 months or so may be coming to an end–not in a collapse, but in an upwards surge."
"If I am right, and stocks crash again in late 2014 or early 2015, I want to buy in the healthcare sector in the U.S. and Europe, especially the most leveraged areas: biotech, medical devices and pharmaceuticals. The baby boomers will continue spending on healthcare and healthcare products, even as budgets get crimped by entitlement reductions."
|"R will have lots of exploration results coming, which could help boost share prices even if gold trades sideways."|
|"AKG reported Q4/16 production of 57 Koz, which compares favorably with our estimate."|
|"EFR's eye-popping copper grades could allow the company to improve the economics significantly at Canyon."|
|"I urge you to take advantage of any market-induced weakness to buy CGT in advance of the feasibility study."|