Wednesday, February 1, 2012
BUY US Silver @ $2.38
Near the end of yesterday's session I decided to buy shares of US Silver (USSID) for $2.38. I have followed this company fairly closely for the past 4 years. I was looking for a silver miner to compliment my gold miner positions and as events are now strongly favoring this company's stock, I think this is a good time to buy and hold.
There is quite a bit about US Silver I would like to write about but unfortunately this post will have to be short.
The company has just done a 5 for 1 reverse split. This condensed the shares outstanding to just 61.8M, while boosting the share price from the 45 cent area to $2.40. Also, the company is in an advanced stage of receiving a listing on the AMEX exchange.
Its silver mines are in northern Idaho.
2011E per share earnings are .06, 2012E .09.
PE 7.9 and 5.3 respectively.
Gross Margin (TTM) 40.19%.
Net Profit Margin (TTM) 18.73%.
1.7X tangible Book Value
Debt = 0
Cash per share = .44
Return on Assets (TTM) 21.87%
Return on Investments (TTM) 23.30%
Return on Equity (TTM) 25.82%