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Welcome to TheInvestar.com!
Uranium One’s Resurrection
June 17, 2009
When we saw the news regarding Kazakhstan’s announcement that some foreign
uranium deals were illegal, and named one of Uranium One’s mines in their probe
we simply shook our heads. It was hardly surprising considering all that we have
been through before. Although one of our favorite companies because of their
commitment to bringing supply online and aggressively expanding their
operations, they conduct business in risky areas and seem to consistently bet
the farm.
This all brings us to today. The Kazakhstan government has said that they will
not renegotiate any contracts after talking with their partners in the country
but investors seemed hardly moved by this announcement and the damage was done.
Many still felt that the government was going to somehow increase its grip on
the mines in the country and that its previous announcement indicated that the
Kazakhs were interested in not only being the world’s largest producer of
uranium, but owning the production as well.
Read full article...
Potash Awakening
May 22, 2009
Over the past few months, investors’ appetite for risk has increased
dramatically. With that we have seen a transition back into those sectors which
were hot, and had quickly become not. Our two favorite sectors here at
theinvestar.com, LLC have been uranium and potash. We have been bulls on these
two sectors for some time and the reasons are becoming more and more apparent in
the potash industry.
Pricing power is one of the most attractive qualities for the potash industry as
a whole. Canpotex is a price setter at the end of the day, certainly not a price
taker. This is the Canadian marketing arm for North America’s largest potash
producers, in short a “cartel”. Although demand has slumped in recent months due
to the world slowdown, many other commodity prices have fallen dramatically and
still supply outstrips demand. With the potash industry right now, yes earnings
are falling along with revenues as sales fall, but fortunately the companies are
not flooding the market now to get these prices and forfeiting the health of
tomorrow’s market. Too often we see this, but it seems the Russian/Ukrainian
potash companies are on board and need not sell all of their production.
Read full article...
A Rising Tide
April 24, 2009
The past year for uranium investors has been a painful chain of lower lows
followed by further lows. Most of those late to the game in the last bull market
lost their shirts and those of us with large paper gains saw those dissipate
into paper losses. Our feeling is that this market is finally turning into
long-term uranium bulls’ favor now that credit and capital markets have thawed
to their current state.
Back on November 3, 2008 we authored an article entitled, “Uranium Equities:
Time to Test the Water,” in which we stated that, “for the first time in many,
many months we saw some strong buying in uranium stocks which was not met by
even stronger selling.” Our recommendation was to gently wade back in, and we
supplied two stocks, Cameco and Ur-Energy. Cameco is up 18.72% from that date
and we are proud to report that Ur-Energy is up a whopping 44.23%! All of this
taking place during the greatest bear markets since 1929, and to take this for
granted would be remiss.
Read full article...
Oilsands Quest: A Speculative, Intelligent Play
Thursday November 13, 2008
One of the most important lessons we have learned over the years, when it
comes to investing, is to trust your gut and your intuition. We were purchasing
commodities during the technology peak in the late 1990s and early part of the
turn of the millennia. Our favorite was of course oil, and on September 11, 2001
it seemed that all of our profits we had racked up since our buying began near
the bottom would surely be wiped out along with a healthy portion of our already
invested capital. When markets reopened, we made our move and purchased more
shares in oil companies such as Talisman Energy (NYSE: TLM) sticking to our
belief that oil prices would rise due to higher demand from emerging economies
and the lack of investment in new oil fields and infrastructure for so long.
Looking back, it was a brilliant trade, and sure it would be easy to say that it
was a no brainer, but there were no guarantees at that moment and it took
tremendous courage to move into the market at that time.
Read full article...
Uranium Equities: Time to Test the Water
Monday November 3, 2008
For the first time in many, many months we saw some strong
buying in uranium stocks which was not met by even stronger selling. For some
time we had been speculating that the hedge funds had exited the uranium
equities and then began the slow and painful exodus out of their physical
uranium yellowcake holdings. Never could we have imagined that it would take
this long to reach this point, nor the thought of some companies’ market
capitalizations being below that of their cash-on-hand levels. Sadly many of
the uranium companies were not only hit by the hedge funds exiting the uranium
arena, but also by investing alongside hedge funds in commercial paper and
mortgage backed securities. Generally when you venture outside your field of
expertise, you get stung and this experience fell in line for many of those
firms who were exploring for the best yield on their cash reserves rather than
exploring for uranium.
Read full article...
And we're back!
September 09, 2008
After round the clock work this weekend, theinvestar.com is now back up and running better than ever. Content will continue
to be added over the next several days. In the meantime, we at theinvestar.com would like to invite our users to check out
the new message board system. Simply fill out a quick registration and begin posting on topics relevant to uranium, potash,
or anything else of interest! Theinvestar.com team will be able to answer any questions and communicate with all of it's
clients through this new system.
Also, for those that have not seen our publications, please feel free to download the full
reports or individual company reports from our new high speed server. Our articles are also available
dating back to 2006. If you would like to be added to our mailing list, please fill out the form on the contact page.
Please enjoy your stay here and come back to see us soon.
Thanks,
theinvestar.com, LLC team
Cameco: A Falling Tree?
Friday, August 22, 2008
Over the years we have been amazed by many events and how investors react and perceive them. One question our mentor
asked us recently brought a smile to our face as it hit home with what many investors are thinking and feeling right
this very moment. His question to me was, “If a tree falls in a forest and no one hears it, did it really fall?”
My initial response was that, “What happens when everyone hears it fall, but fail to either believe or recognize
that it no longer remains?”
Read full article...
Potash Sprouting New Entrants
June 19, 2008
The world's major potash producers' stocks keep powering higher day after day with Potash Corp. of Saskatchewan
(NYSE- POT), The Mosaic Company (NYSE- MOS), and Agrium Inc. (NYSE- AGU) moving strongly higher over the past
two weeks. Investors are beginning to reinvest their gains in these larger players down the food chain into some of the
potash explorers. So long as these larger companies can keep up their momentum and avoid any sharp downturns, the
juniors should continue upwards as well.
Read full article...
Potash Companies are Enfuego
June 12, 2008
All things potash have been enfuego as of late as producers, explorers and holding companies have all seen their share
prices rise as investors exuberantly bid up shares. We highlighted Potash Corporation of Saskatchewan in our June 2,
2008 article (click here) declaring that the stock was ready to make a move upwards. We also highlighted the much
smaller explorers who we have consistently said hold much promise for investors.
Read full article...
Potash: Setting Up for a Rally
June 2, 2008
Over the past few weeks it seems that volume has slowed on the potash stocks we follow as the share prices have taken a
breather. Interest has waned yet share prices have found themselves in a bit of a trading range, especially when one
consults a chart of Potash Corporation of Saskatchewan (POT), The Mosaic Company (MOS) and Agrium Incorporated
(AGU). Not much has changed in the past few weeks, and investors understand that the fertilizer stocks will be around
for a while. Right now we have some sideways movement, which could soon end.
Read full article...
Red Hot Yellow Cake
May 21, 2008
Over the past few weeks we here at theinvestar.com, LLC had speculated that uranium equities could be poised to rise
higher if only they could hold recent gains and stay above support levels established in April and subsequently rise
above previously established resistance levels.
Read full article...
Potash Arena Shrinking After BHP's Acquisition of Anglo Potash
May 13, 2008
The big news today in the potash arena has to be the fact that BHP Billiton (BHP- NYSE) has purchased their joint
venture partner, Anglo Potash Limited (AGP- Vancouver), at C$8.15 per share for a total of C$284 million in cash. For
those not familiar with the situation, Anglo Potash owned 25% of a joint venture with BHP Billiton Diamonds Inc., a
subsidiary of BHP Billiton. With this transaction, BHP has placed a value on the project of roughly C$1.136 Billion for a
project which may come into production in 2014 at the earliest assuming smooth sailing from here on out.
Read full article...
Uranium: Powering the Future
May 8, 2008
Uranium equities have continued their downturn after a period where it appeared we may have been flat-lining.
Unfortunately for those still holding, many of these stocks dipped further in recent trading days resulting in a new
all-time low for theinvestar's Canadian Uranium Average (TICUA). We noticed during those down days that volume
spiked on many of the smaller uranium stocks included in the average as well as those which we follow on the side.
Read full article...
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