With precious metal prices falling, time to look at juniors and their cash
(Kitco News) - With mine financings down off highs early in the year, investors may want to look at juniors and how much cash they hold.
Mining speculator Luc ten Have charted junior mining companies with high cash balances and relatively low market caps. He posted the chart on Twitter today.
"A cashed up junior is no guarantee of success, but it allows the company to avoid dilutive financings at current low prices. The next step for the investor is to find out which one of these companies is worth your investment," said Luc ten Have.
Oreninc, the Canadian resource tracking index, has fallen from highs earlier in the year. Analysts at Oreninc wrote in mid-month that the "...mining sector can’t seem to escape the negative sentiment."