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Focus Stock of the Week (SVM)

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Are you participating in the Silver Bull Market?

There are many ways to invest in silver bullion. The safest is to buy and hold physical silver. For those who want leveraged gains you can buy ETFs, Options, Futures, etc. These products have various risks and different pros and cons. A simpler and safer way to have leveraged gains is to buy silver mining companies.

Silver Price momentum is building.

James Turk thinks silver will hit new all time highs possibly this year: https://kingworldnews.com/man-who-correctly-predicted-silver-would-hit-30-now-says-silver-may-surge-to-new-all-time-high-by-september-30/

Silvercorp Metals (SVM) has grown into a strong cash gushing machine. After being called a fraud by Muddy Waters the company has simplified its business buy selling off non-core mines. It now owns only low-cost, high cash flow operations.

Free cash flow is a great number to measure most businesses against since it is difficult to impossible to manipulate. Silvercorp is generating positive free cash flow on a consistent basis for the past several years. Over the last 12 months the company generated $42 million dollars of free cash flow at significantly lower silver prices. Without adding any new mining capacity the free cash flow should explode higher for every additional dollar of silver price growth.

Take the simpler approach to leverage silver prices and check up SVM today.


Disclosure: I wrote this article myself, and it expresses my own opinions. I have no business relationship with any company whose stock is mentioned in this article. The information provided should NOT be considered advice. The topics discussed are risky and have the potential to lose a substantial amount. I am not an investment professional and therefore do not offer individual financial advice. Please do your own research before investing.

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