Do You Like Money?

If you do, I have an easy answer. No, I am not selling snake oil or aluminum siding. My blog is free, and I have no benefit from sharing this point of view, other than the human reward of being "right," and the fun of being generous with my ideas. Of course I am long this concept; but the market will take care of itself and my observations will not make a material difference to anyone but you! :-)

I've written endlessly about my views on platinum, the sister platinum group metals, namely palladium, iridium, rhodium and ruthenium, and about gold. I have also shared my thoughts, ad nauseum (almost) on Sibanye Stillwater, SBGL.

So one more time with feeling! SBGL is trading at $5.61. I am always a buyer of the stock, having purchased as low as $3.25, and as high as $5.71. I bought stock this morning, before the open, at $5.58 and $5.59. I paid $5.4 yesterday. Yes, my average cost is now in the low $4s ... but it is still an opportunity today if you do the work to understand the company's fundamentals. 

Where is this train taking us? For a rough number, $10 is fair value today based on prevailing metal prices and SBGL's balance sheet. As debt gets repaid, dividends resume, and the platinum group metals and gold elevate, with their own rerating, I expect the stock, as the world's largest platinum and rhodium miner, 2nd largest palladium miner, and 3rd largest gold miner, to ultimately find it's way to $20.

All aboard. You should get on now, while the train is still at the station. The money isn't exactly falling from the skies... You do after all, need to bend over and pick it up... which is another way of saying that a bit of exertion, in this case capital risk, is required.

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