Penny Stocks on NASDAQ/NYSE/TSX
aeroektar
Pelican
I still have the shares I bought a few weeks ago at around .003 and I'm planning to sell them at .0068 or possibly a little bellow that. I was hoping to see a catalyst in April that would bring the price up but it's looking like nothing until May.
I think there's a high likelihood that this is a scam.
24B outstanding shares. How many legitimate companies have amassed a number like that, and how many did a massive buyback and retired enough shares to get them back to a healthy number? Henry says he doesn't want to do a reverse split.
Henry pokes his head up once every few weeks and makes a few tweets or does a CC or two and then goes silent again. All I've ever heard is a lot of hype, no REAL hard evidence has been presented to my knowledge.
Asian diamond exhange, Vietnamese infrastructure fund, a mining venture, a plastics producer (which there's about a billion of in Asia, I don't see why some people are so excited about that). It all seems all over the place and super ambitious. I want to see pictures of this guy in luxembourg shaking hands, in Vietnam shaking hands, etc. But it's always just a conference call from what looks like his living room.
This appears to be your basic small precious metals mining company. They're operating a single mine in Mexico that seems to be supplying a steady stream of silver, gold, and copper ore. Usually, a mining company with a mine in steady production and less than 150m outstanding shares has a share price of at least $2-3, so at just over a dollar, this stock could be considered a good value. There is some speculation on the stock message boards I looked at that naked short selling, or regular short selling manipulation, is what has driven this stock price down the last couple of months. It could be that , but it could also be that they're operating in Mexico. This is the second company I've studied that has had serious problems with labor unions, perhaps tied to criminal cartels, completely shutting down their operations in Mexico.
Avino Silver and Gold Mines- ASM $1.19, 14 Apr 2021
Outstanding Shares: 89.6m
Employees: 350
Market cap: 121.75m
Cash: 11.71m (and equivalents); low debt;
Operations:
1. Avino mine, Durango, Mexico- 100% owned and produced 510k oz silver, 4.4k oz gold, and 4.56m lbs of copper in 2019; was shut down for several months by the Mexican government in 2020 for Covid, then subsequently shut down by a miner’s strike until October, reducing ore production by 65% for that year. Major expansion project underway and full production is resuming.
2. San Gonzalo mine, Durango- 100% owned mine that ceased production in 2019; may be explored further in the future.
3. Exploration properties: Four in Durango, of which two have been optioned to Silver Wolf Exploration (SWE), one property at Keno Hill, Yukon, and two properties in southern British Columbia. None of the properties (except the two optioned to SWE) are currently under active exploration. Avino has right of first refusal for ore mined by SWE.
Notes:
Company does not appear to be currently focused on opening new mines, rather it is trying to greatly expand its Avino mine. The company’s presentations do not provide a timeline on when they expect to announce their feasibility results for expanding the mine. If company can continue to produce 500k+ oz of silver a year, then start increasing that production in a few years with expansion, then it seems to me that this stock (assuming the price of silver stays strong) is currently a fairly good bargain at a price just over a dollar.
One worrying item is the labor dispute which shut down their mine for four months and ultimately delayed their resumption of full production until 2021. A similar situation has shut down the mine owned by Amercia’s Gold & Silver in Sinaloa. Labor disputes, especially with unions that appeared to be tied to organized crime, appears to be a worrying problem in Mexico for the future, especially since it appears that the Mexican government is reluctant to get involved.
Avino Silver and Gold Mines- ASM $1.19, 14 Apr 2021
Outstanding Shares: 89.6m
Employees: 350
Market cap: 121.75m
Cash: 11.71m (and equivalents); low debt;
Operations:
1. Avino mine, Durango, Mexico- 100% owned and produced 510k oz silver, 4.4k oz gold, and 4.56m lbs of copper in 2019; was shut down for several months by the Mexican government in 2020 for Covid, then subsequently shut down by a miner’s strike until October, reducing ore production by 65% for that year. Major expansion project underway and full production is resuming.
2. San Gonzalo mine, Durango- 100% owned mine that ceased production in 2019; may be explored further in the future.
3. Exploration properties: Four in Durango, of which two have been optioned to Silver Wolf Exploration (SWE), one property at Keno Hill, Yukon, and two properties in southern British Columbia. None of the properties (except the two optioned to SWE) are currently under active exploration. Avino has right of first refusal for ore mined by SWE.
Notes:
Company does not appear to be currently focused on opening new mines, rather it is trying to greatly expand its Avino mine. The company’s presentations do not provide a timeline on when they expect to announce their feasibility results for expanding the mine. If company can continue to produce 500k+ oz of silver a year, then start increasing that production in a few years with expansion, then it seems to me that this stock (assuming the price of silver stays strong) is currently a fairly good bargain at a price just over a dollar.
One worrying item is the labor dispute which shut down their mine for four months and ultimately delayed their resumption of full production until 2021. A similar situation has shut down the mine owned by Amercia’s Gold & Silver in Sinaloa. Labor disputes, especially with unions that appeared to be tied to organized crime, appears to be a worrying problem in Mexico for the future, especially since it appears that the Mexican government is reluctant to get involved.
I turn to the guy above, who wrote about Titan Mining - you're right, I also believe that in the long term, their shares will become more expensive. I follow them, and they are gaining steadily around 0.64 - 0.69 more and more every day, I think that soon the price will rise by a few more percent.
My brother suggested that I read how to avoid swap fees forex which prevented me from working with TXS, and I listened to him. Now it is really more convenient for me to trade knowing this information!
By the way, I have not heard about ASM , but according to the words and information provided by the guy - I want to look at it !
My brother suggested that I read how to avoid swap fees forex which prevented me from working with TXS, and I listened to him. Now it is really more convenient for me to trade knowing this information!
By the way, I have not heard about ASM , but according to the words and information provided by the guy - I want to look at it !
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Another fairly risky pharmaceutical stock. They are not as transparent as they should be, in my opinion, about their failed drug trial last year for their main product. However, the market apparently has noticed, which is one reason why their stock price is under a dollar. One positive about pharmaceuticals like this, however, is that they don't take as long to bring to market like cancer-fighting drugs. The clinical trials for these types of drugs, that treat symptoms rather than the disease itself, typically seem to last about a year.
AzurRx Biopharma- AZRX $.81, 15 Apr 21
Outstanding Shares: 74.44m
Employees: 12
Market cap: 92m
Cash/debt: 11.4m (and equivalents); no debt; 32m in expenses for 2020
Products: All targeted, non-systemic (doesn’t enter bloodstream) therapies for gastrointestinal (GI) diseases
1. MS1819- Targets Exocrine Pancreatic Insufficiency (EPI) using Yarrowia lipolytica, an aerobic yeast; Undergoing two concurrent Phase 2 clinical trials for Cystic Fibrosis (CF) and Chronic Pancreatitis (CP); an initial Phase 2 trial for CF, which ended in November 2020, was unsuccessful; in March 2021 the company announced that it was reconfiguring the oral delivery method and reinitiating a Phase 2 trial; final results for both trials expected EOY 2021; In addition, the company is conducting a Phase 2 trial (Hungary and Turkey) in which MS1819 is combined with PERT (current approved drug) with results expected by Q4 2021; Phase 3 trial to begin Q1 2022 and end Q4 2022; there are ~30k and ~90k patients, respectively, with CS and CP in the US; initial patent expires 2028 but could be extended to 2041
2. FW-420- Niclosamide (generic drug) in two indications using administration (oral and enema) techniques licensed from First Wave Bio (FWB), Inc; Phase 1b/2a trial for Immune Checkpoint Inhibitor-Induced Colitis and chronic diarrhea in oncology patients to start 2021 and end Q4 2022; patent expires 2036
3. FW-1022- Niclosamide with FWB for COVID-19 GI infections; Phase 2 trial to begin 2021 and end Q1 2022
Notes:
Stock price is probably so low because of the busted Phase 2 trial for MS1819 in 2020, plus company sold 5.8m shares in March 2021 to provide $9m to fund this year’s clinical trials. Their drug manufacturing is outsourced. There are at least three other companies (NeuroBo Pharmaceuticals, Daewoong Pharmaceuticals, and Union Therapeutics A/S) that are also developing treatments using Niclosamide to treat GI disorders.
Executive compensation for this company is a little lower than other, similar companies and their bonuses for 2020 were much smaller. CEO was paid $462.5k plus a 159.5k bonus. Their website does not openly state that one of their Phase 2 trials for MS1819 was a failure. It is buried in their 2020 annual report and presumably in one of their Letters to Shareholders linked on their website.
AzurRx Biopharma- AZRX $.81, 15 Apr 21
Outstanding Shares: 74.44m
Employees: 12
Market cap: 92m
Cash/debt: 11.4m (and equivalents); no debt; 32m in expenses for 2020
Products: All targeted, non-systemic (doesn’t enter bloodstream) therapies for gastrointestinal (GI) diseases
1. MS1819- Targets Exocrine Pancreatic Insufficiency (EPI) using Yarrowia lipolytica, an aerobic yeast; Undergoing two concurrent Phase 2 clinical trials for Cystic Fibrosis (CF) and Chronic Pancreatitis (CP); an initial Phase 2 trial for CF, which ended in November 2020, was unsuccessful; in March 2021 the company announced that it was reconfiguring the oral delivery method and reinitiating a Phase 2 trial; final results for both trials expected EOY 2021; In addition, the company is conducting a Phase 2 trial (Hungary and Turkey) in which MS1819 is combined with PERT (current approved drug) with results expected by Q4 2021; Phase 3 trial to begin Q1 2022 and end Q4 2022; there are ~30k and ~90k patients, respectively, with CS and CP in the US; initial patent expires 2028 but could be extended to 2041
2. FW-420- Niclosamide (generic drug) in two indications using administration (oral and enema) techniques licensed from First Wave Bio (FWB), Inc; Phase 1b/2a trial for Immune Checkpoint Inhibitor-Induced Colitis and chronic diarrhea in oncology patients to start 2021 and end Q4 2022; patent expires 2036
3. FW-1022- Niclosamide with FWB for COVID-19 GI infections; Phase 2 trial to begin 2021 and end Q1 2022
Notes:
Stock price is probably so low because of the busted Phase 2 trial for MS1819 in 2020, plus company sold 5.8m shares in March 2021 to provide $9m to fund this year’s clinical trials. Their drug manufacturing is outsourced. There are at least three other companies (NeuroBo Pharmaceuticals, Daewoong Pharmaceuticals, and Union Therapeutics A/S) that are also developing treatments using Niclosamide to treat GI disorders.
Executive compensation for this company is a little lower than other, similar companies and their bonuses for 2020 were much smaller. CEO was paid $462.5k plus a 159.5k bonus. Their website does not openly state that one of their Phase 2 trials for MS1819 was a failure. It is buried in their 2020 annual report and presumably in one of their Letters to Shareholders linked on their website.
This small gold mining company appears to be in a fairly good position. They have one small mine in operation (40,000 oz of gold per year) and another they hope to bring online in a couple of years. They pulled a net profit for their Q1 2021 and have low numbers of outstanding shares, low expenses, and low debt. I'm not sure why their share price is so cheap right now. Perhaps one factor is that their gold production is low compared to other companies and their second mine is only estimated to have 400-500k oz of gold total. Seems to me, however, that if they keep their production consistent and the price of gold stays high, this company should continue to turn a net profit for the foreseeable future.
Fiore Gold- FIOGF $1.00, 19 Apr 2021
Outstanding Shares: 99.34m
Employees: 70 employees and 84 contractors
Market cap: 100.34m
Cash: 19m; 7m debt (long-term liabilities; company says in its presentation it has “zero” debt); about 10m annual expenses
Operations:
1. Pan Mine, NV- 100% owned, in-production, open pit, heap-leach gold mine purchased from a bankrupt mining company (Midway) in 2016 that had previously operated from Feb 2014 to June 2015. Estimated life-span of renewed operation is until 2025. Most mining personnel on site are contractors. Produced 46k oz gold in 2020 and expects similar production until 2025, but may be able to increase production if exploration in the immediate vicinity enables expansion.
2. Gold Rock, NV- 100% owned prospective gold mine near Pan in evaluation stage. Although the company is currently hoping to mine the claim, it has assessed that the likely amounts of gold therein are only about 400-550k oz. Therefore, Fiore will stress cost-control with the mine, including the use of vat leaching.
3. Golden Eagle, WA- 100% owned prospective gold mining project in exploratory stage.
4. Rio Loa, Chile- Silver and gold prospect claim that was initially explored in 2018, but no further exploration is desired; trying to sell claim to a Chilean company for $150k
Notes:
Incorporated in both Nevada and Vancouver, Canada. The company’s current goal is to ultimately achieve production of 150,000 oz of gold per year, but that might take awhile. Apparently, Midway screwed-up their leach pad processing at Pan which kept them from processing enough ore to stay current on their financial obligations. Fiore has rebuilt the leach pad and installed improved processing equipment at Pan and intends to follow suit at Gold Rock.
$17m revenue and 4m net income for Oct-Dec 2020. Company comments repeatedly that it has had, and is still having, difficulty in finding and hiring qualified personnel to work at its operations in NV, apparently due to competition with other mines in the area and perhaps because of US government COVID relief benefits causing miners to prefer to stay home rather than seek employment.
The company does not provide an estimated timeline for the development and/or opening of its Gold Rock and Golden Eagle projects. Fiore’s reports and statements are generally detailed and easy to understand. On 14 Apr 2021, company announced that gold production for Q2 was about 11m oz, a 19% increase over Q1 because of leach pad issues experienced during Q1. Stock price did not greatly increase after this announcement.
Fiore Gold- FIOGF $1.00, 19 Apr 2021
Outstanding Shares: 99.34m
Employees: 70 employees and 84 contractors
Market cap: 100.34m
Cash: 19m; 7m debt (long-term liabilities; company says in its presentation it has “zero” debt); about 10m annual expenses
Operations:
1. Pan Mine, NV- 100% owned, in-production, open pit, heap-leach gold mine purchased from a bankrupt mining company (Midway) in 2016 that had previously operated from Feb 2014 to June 2015. Estimated life-span of renewed operation is until 2025. Most mining personnel on site are contractors. Produced 46k oz gold in 2020 and expects similar production until 2025, but may be able to increase production if exploration in the immediate vicinity enables expansion.
2. Gold Rock, NV- 100% owned prospective gold mine near Pan in evaluation stage. Although the company is currently hoping to mine the claim, it has assessed that the likely amounts of gold therein are only about 400-550k oz. Therefore, Fiore will stress cost-control with the mine, including the use of vat leaching.
3. Golden Eagle, WA- 100% owned prospective gold mining project in exploratory stage.
4. Rio Loa, Chile- Silver and gold prospect claim that was initially explored in 2018, but no further exploration is desired; trying to sell claim to a Chilean company for $150k
Notes:
Incorporated in both Nevada and Vancouver, Canada. The company’s current goal is to ultimately achieve production of 150,000 oz of gold per year, but that might take awhile. Apparently, Midway screwed-up their leach pad processing at Pan which kept them from processing enough ore to stay current on their financial obligations. Fiore has rebuilt the leach pad and installed improved processing equipment at Pan and intends to follow suit at Gold Rock.
$17m revenue and 4m net income for Oct-Dec 2020. Company comments repeatedly that it has had, and is still having, difficulty in finding and hiring qualified personnel to work at its operations in NV, apparently due to competition with other mines in the area and perhaps because of US government COVID relief benefits causing miners to prefer to stay home rather than seek employment.
The company does not provide an estimated timeline for the development and/or opening of its Gold Rock and Golden Eagle projects. Fiore’s reports and statements are generally detailed and easy to understand. On 14 Apr 2021, company announced that gold production for Q2 was about 11m oz, a 19% increase over Q1 because of leach pad issues experienced during Q1. Stock price did not greatly increase after this announcement.
An update on some of the stocks I previously reviewed:
1. Advaxis- Will be having a vote on a reverse stock split in their early June shareholder's meeting. They're hoping to do a reverse stock split to keep their shares listed on the NASDAQ.
2. Boxlight- I found out that the reason this company uses resellers rather than direct sales is so that the resellers can be classified as "women or minority-owned businesses" in order to get preferential treatment on the buying schedules for the US and Canadian federal, state/provincial, and local governments. While this may seem like a smart move, the problem is almost all electronics companies do this, not just Boxlight, so it doesn't necessarily give them a competitive advantage.
3. Aya- This company's stock has almost doubled in value since I profiled it, making me wish that I had bought more shares so I could cash in on the pop. Although I feel this company has the most potential of any mining company I've profiled so far, I think it's a little overpriced at over $6 a share right now and I'm wondering why it's so high. I hope it comes down so I can buy some more of their stock.
4. Citius- Their accounting year ends 30 Sep which is why I didn't see their annual report at first. I read it and their Q1 2021 reports and the only thing negative I saw about their situation is that they may have a little more competition for two of their products than what I initially observed. Still, I think this company and aTyr have the most potential and are in the strongest positions of any of the small pharma companies I've reviewed so far. Citius' stock was selling for as low as $1.51 over the past couple of days which I think is a bargain (this is not a buy recommendation until you double check my opinions for yourself).
1. Advaxis- Will be having a vote on a reverse stock split in their early June shareholder's meeting. They're hoping to do a reverse stock split to keep their shares listed on the NASDAQ.
2. Boxlight- I found out that the reason this company uses resellers rather than direct sales is so that the resellers can be classified as "women or minority-owned businesses" in order to get preferential treatment on the buying schedules for the US and Canadian federal, state/provincial, and local governments. While this may seem like a smart move, the problem is almost all electronics companies do this, not just Boxlight, so it doesn't necessarily give them a competitive advantage.
3. Aya- This company's stock has almost doubled in value since I profiled it, making me wish that I had bought more shares so I could cash in on the pop. Although I feel this company has the most potential of any mining company I've profiled so far, I think it's a little overpriced at over $6 a share right now and I'm wondering why it's so high. I hope it comes down so I can buy some more of their stock.
4. Citius- Their accounting year ends 30 Sep which is why I didn't see their annual report at first. I read it and their Q1 2021 reports and the only thing negative I saw about their situation is that they may have a little more competition for two of their products than what I initially observed. Still, I think this company and aTyr have the most potential and are in the strongest positions of any of the small pharma companies I've reviewed so far. Citius' stock was selling for as low as $1.51 over the past couple of days which I think is a bargain (this is not a buy recommendation until you double check my opinions for yourself).
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This appears to be a solid, small gold and silver mining company that has seen a net profit for several years now and is the first mining company I've profiled so far that pays a dividend. One interesting thing about them is that shareholders have the option of receiving their dividends in gold or silver bullion if they choose to, but it takes a little bit more paperwork. Is this worth doing?
Gold Resource Corp- GORO $2.87, 22 Apr 2021
Outstanding Shares: 74.44m
Employees: 11 employees, 570 contractors
Market cap: 224.06m
Cash: 25.41m; zero debt;
Operations: Blanket name for all properties is “Don David Gold Mine” and all are located near each other in Oaxaca, Mexico. Total production in 2020 was 20,473 gold ounces, 1,189,366 silver ounces, 1,593 copper tonnes, 7,725 lead tonnes and 19,696 zinc tonnes. All operating mines use a single processing facility, an agitated leach plant, located at Aguila. All properties are 100% owned.
1. Aguila Project open pit and associated Arista underground mine. Began mining operations in 2010. Company hopes to expand production from both the pit and the underground mine starting this year. Company believes there are 156k oz gold and 8m oz silver reserves at the location.
2. Alta Gracia Project with Mirador underground mine. Began mining operations in 2017. Company believes there are 1.6k oz gold and 716k oz silver in this mine.
3. Exploration properties in same area include Rey, Chamizo, Las Margaritas, and Fuego. The company is exploring all four properties, but has not disclosed a timeline for evaluation and/or feasibility studies.
Notes:
Company split in two in December 2020 with spin-off, containing their gold mine in Nevada, becoming Fortitude Gold Corp (FTCO). I wonder if using contract company workers at the Oaxaca mines will help this company avoid labor conflicts that have disrupted other mines in Mexico? The area of the mining claims in Oaxaca is mainly inhabited by the indigenous Ejido tribe which has objected to and in some cases has halted exploration and/or development of some of the company’s claims.
Paid a $.04 per share dividend in 2020. The company provides an option for shareholders to receive their dividends in gold or silver bullion rather than cash, but the holder has to register directly with the company rather than through a broker or other intermediary.
Realized a net income of $10.7m for 2020, but that included their Nevada production. The company executives are paid in the range of $220-380k plus around $100k bonuses, which I think is reasonable for a company of this size with their amount of net income. Overall, appears to be a strong company well-situated to continue making a profit over succeeding years as long as metal prices stay strong.
Gold Resource Corp- GORO $2.87, 22 Apr 2021
Outstanding Shares: 74.44m
Employees: 11 employees, 570 contractors
Market cap: 224.06m
Cash: 25.41m; zero debt;
Operations: Blanket name for all properties is “Don David Gold Mine” and all are located near each other in Oaxaca, Mexico. Total production in 2020 was 20,473 gold ounces, 1,189,366 silver ounces, 1,593 copper tonnes, 7,725 lead tonnes and 19,696 zinc tonnes. All operating mines use a single processing facility, an agitated leach plant, located at Aguila. All properties are 100% owned.
1. Aguila Project open pit and associated Arista underground mine. Began mining operations in 2010. Company hopes to expand production from both the pit and the underground mine starting this year. Company believes there are 156k oz gold and 8m oz silver reserves at the location.
2. Alta Gracia Project with Mirador underground mine. Began mining operations in 2017. Company believes there are 1.6k oz gold and 716k oz silver in this mine.
3. Exploration properties in same area include Rey, Chamizo, Las Margaritas, and Fuego. The company is exploring all four properties, but has not disclosed a timeline for evaluation and/or feasibility studies.
Notes:
Company split in two in December 2020 with spin-off, containing their gold mine in Nevada, becoming Fortitude Gold Corp (FTCO). I wonder if using contract company workers at the Oaxaca mines will help this company avoid labor conflicts that have disrupted other mines in Mexico? The area of the mining claims in Oaxaca is mainly inhabited by the indigenous Ejido tribe which has objected to and in some cases has halted exploration and/or development of some of the company’s claims.
Paid a $.04 per share dividend in 2020. The company provides an option for shareholders to receive their dividends in gold or silver bullion rather than cash, but the holder has to register directly with the company rather than through a broker or other intermediary.
Realized a net income of $10.7m for 2020, but that included their Nevada production. The company executives are paid in the range of $220-380k plus around $100k bonuses, which I think is reasonable for a company of this size with their amount of net income. Overall, appears to be a strong company well-situated to continue making a profit over succeeding years as long as metal prices stay strong.
This company had not just one, but two of their drug candidates bust their Phase 3 trials. But they're hanging in there and putting more candidates into their pipeline. As I note below, their announcement of a nasal spray that supposedly prevents the spread of viruses and allergens brought them a lot of attention late last year. I really don't know if these guys are for real, or if they're another AIM Immunotech. We'll see, I guess.
Auris Medical- EARS $3.34, 23 Apr 21
Outstanding Shares: 11.4m (2020 annual report)
Employees: 9
Market cap: 21.84m
Cash/debt/expenses: 11.2m; low debt
Products:
1. AM-125- Betahistine nasal inhalant to treat inner ear disorders, specifically vertigo. Phase 2 trial delayed by COVID-19; may restart by 3Q 2021
2. AM-201- Betahistine nasal inhalant for prevention of antipsychotic-induced weight gain and somnolence (chronic drowsiness); Phase 1b trial
3. AM-301- Non-pharmaceutical nasal gel spray to inhibit transmission of viruses and allergens through the nose; pre-clinical; may be classified by FDA as a “medical device” (510(k)) rather than a drug; Auris is attempting to get fast-track trial approval from the FDA under the COVID-19 Emergency Use Authorization
4. Keyzilen (AM-101)- acute inner ear tinnitus; failed Phase 3 trials in 2016 and 2018; approved for another Phase 3 trial by FDA in 2019, but Auris has not decided yet on proceeding
5. Sonsuvi (AM-111)- acute inner ear hearing loss; obtained mixed results in 2017 Phase 3 trial; FDA approved further testing, but company has not yet made a decision on whether to proceed; has received orphan drug status and fast-track designation
Notes: Swiss company that relocated to Bermuda in 2019 and declined to include their former Swiss address in their 2020 annual report. Executed a 1-20 reverse stock split in May 2019. Net losses have decreased every year since 2016, because of discontinuance of Phase 3 trials for Keyzilen and Sonsuvi. Company predicts 11.5m – 13m operating expenses for 2021. According to the company, there are no direct competitors for its ear/hearing drugs. However, I don’t see why another company couldn’t replicate their AM-301 nasal gel. They hint in their 2020 annual report that they’ll likely have to sell more stock in 2021 to fund their operations.
In 2019, Auris formed a subsidiary called Zilentin Ltd and transferred to it the licenses for Keyzilen and Sonsuvi. Uses third parties to manufacture their drugs.
Their announcement of initial, promising results for AM-301 on 1 Dec 2020 sent their stock from about $1 to almost $6 in a single day. They announced on 13 Apr 2021 that they will begin selling AM-301 in certain locations in Europe under brand name Bentrio before the end of 2021. The announcement has so far not had a significant effect on their stock price.
Auris Medical- EARS $3.34, 23 Apr 21
Outstanding Shares: 11.4m (2020 annual report)
Employees: 9
Market cap: 21.84m
Cash/debt/expenses: 11.2m; low debt
Products:
1. AM-125- Betahistine nasal inhalant to treat inner ear disorders, specifically vertigo. Phase 2 trial delayed by COVID-19; may restart by 3Q 2021
2. AM-201- Betahistine nasal inhalant for prevention of antipsychotic-induced weight gain and somnolence (chronic drowsiness); Phase 1b trial
3. AM-301- Non-pharmaceutical nasal gel spray to inhibit transmission of viruses and allergens through the nose; pre-clinical; may be classified by FDA as a “medical device” (510(k)) rather than a drug; Auris is attempting to get fast-track trial approval from the FDA under the COVID-19 Emergency Use Authorization
4. Keyzilen (AM-101)- acute inner ear tinnitus; failed Phase 3 trials in 2016 and 2018; approved for another Phase 3 trial by FDA in 2019, but Auris has not decided yet on proceeding
5. Sonsuvi (AM-111)- acute inner ear hearing loss; obtained mixed results in 2017 Phase 3 trial; FDA approved further testing, but company has not yet made a decision on whether to proceed; has received orphan drug status and fast-track designation
Notes: Swiss company that relocated to Bermuda in 2019 and declined to include their former Swiss address in their 2020 annual report. Executed a 1-20 reverse stock split in May 2019. Net losses have decreased every year since 2016, because of discontinuance of Phase 3 trials for Keyzilen and Sonsuvi. Company predicts 11.5m – 13m operating expenses for 2021. According to the company, there are no direct competitors for its ear/hearing drugs. However, I don’t see why another company couldn’t replicate their AM-301 nasal gel. They hint in their 2020 annual report that they’ll likely have to sell more stock in 2021 to fund their operations.
In 2019, Auris formed a subsidiary called Zilentin Ltd and transferred to it the licenses for Keyzilen and Sonsuvi. Uses third parties to manufacture their drugs.
Their announcement of initial, promising results for AM-301 on 1 Dec 2020 sent their stock from about $1 to almost $6 in a single day. They announced on 13 Apr 2021 that they will begin selling AM-301 in certain locations in Europe under brand name Bentrio before the end of 2021. The announcement has so far not had a significant effect on their stock price.
Here's a few more profiles on some small mining companies I've looked at recently:
Callinex Mines- CLLXF $2.44, 28 Apr 2021
Outstanding Shares: 13m
Employees: ?
Market cap: 32m
Cash: 246k
Operations:
1. Flin Flon, Manitoba- Includes Pine Bay “Rainbow” discovery containing copper, gold, silver, and zinc.
2. Bathurst, New Brunswick- Includes Nash Creek, Headway, and Superjack deposits of estimated 963m lbs of zinc. Also, near-surface silver vein at Nash Creek. A 2018 preliminary economic assessment recommended further exploration of the claim directed at future development.
3. Pt. Leamington, Newfoundland- Initial exploration indicates deposits of 577m lbs of zinc, 484k oz gold, 7.7m oz silver, and 130m lbs copper.
Notes:
The company’s literature states only that it will be continuing exploratory drilling of the three properties during 2021. It does not give a timeline for a final feasibility study for each. Callinex has partial ownership in a graphite deposit claim in Manitoba, but is in the process of selling it to Global Li-Ion Graphite Corp. This company appears to give good exposure to zinc mining, which is often sidelined as a by-product by most other precious metals miners.
I’m not sure why the stock price is so high for this company when it doesn’t even have a timeline for completing its final development feasibility assessment. It could be that the mineral deposits the company has found so far are above-average in quality. The low number of outstanding shares is probably a contributor as well, and I commend the company for making an effort not to oversell shares to finance their operations. Still, I would expect the stock price to come down a little while investors are waiting for them to make a production decision.
Clarity Gold- CLGCF $.87, 30 Apr 2021
Outstanding Shares: 28m
Employees: ?
Market cap: 26m
Cash: 48k; no debt
Operations:
1. Destiny, Quebec- Gold claim; Clarity is in the process of acquiring 100% ownership; intermediate exploration
2. Empirical, BC- Gold, Copper, and Molybdenum claim; Company currently in process of acquiring 100% ownership; intermediate exploration
3. Tyber, Vancouver Island, BC- 100%-owned, gold, copper, and silver claim; preliminary exploration
4. Gretna Green, Vancouver Island, BC- 100%-owned gold, copper, and silver claim; preliminary exploration
Notes:
Incorporated on 11 Sep 2019. IPO on 25 June 2020. I’m not sure that this company should be optimistic about their BC exploration, as several mining companies have had their mining permits denied by the green weenies in the BC provincial government recently. Their Quebec claim is probably the most promising.
This stock is a little expensive for a company that is still in the exploration stage, but apparently the low number of outstanding shares, the leadership team, and the exploration results so far have helped the share price. Likely three years, at least, from opening a mine and starting production.
E3 Metals- EEMMF $1.84, 30 Apr 2021
Outstanding Shares: 50m
Employees: ?
Market cap: 77m
Cash: 6m
Operations:
1. Clearwater Project, Alberta- Proposed lithium harvesting operation from undergound acquifer brine water (beneath oil and gas fields); projected 20-year lifespan w/ 20k tonnes of lithium produced annually; 3.4 year payback w/ ultimate production totals estimated at $1.1b vs ~700k in total production costs; company plans to conduct test production throughout 2021
2. Exshaw, Rocky, Sunbreaker, Drumheller, and Medowbrook-Rimbey- exploratory projects in same general area as Clearwater; company does not provide timeline of exploration of these projects in its literature
Notes:
On January 25, 2021 the Livent Corporation (larger lithium producer) withdrew from its partnership with E3 to develop their lithium extraction technology, citing costs. Subsequently, E3 partnered with Devco for processing technology development. In April 2021, the government of Alberta awarded E3 a grant of $1.8m to assist in their development of the lithium extraction technology.
Main risk seems to be with their processing technology, which they appear to primarily be developing themselves rather than using established processes. If their technology works well during their testing phase over the next year or so, they could be starting major production within a couple of years. Hiccups with the tech, of course, could cause delays.
If the hype over lithium production continues as is, once this company declares start of full production, its share price should jump to close to double-digits, especially if their number of outstanding shares remains as low as it currently is.
Garibaldi Resources- GGIFF $.36, 30 Apr 2021
Outstanding Shares: 121.5m
Employees:
Market cap: 45m
Cash: 336k
Operations: The company appears to be exploration only and plans to license, option, and/or sell its finds to other mining companies
1. Nickel Mountain, BC- Part of the Company’s E&L claim and its premier prospect; exploration over several years has found significant presence of high-grade nickel, copper, cobalt, and rhodium, palladium, platinum, plus some gold and silver; assessment to be released in 2021 while exploratory drilling continues
2. Casper Project, BC- Part of the Company’s Palm Spring claim; exploration during 2020 produced promising indications of gold; assay results to be released in 2021 while exploratory drilling continues
3. Mexico claims- La Patilla, Sinaloa; Iris, Chihuahua; Sonora; undergoing initial exploration
4. Other BC claims- Red Lion; Grizzly; Golden Bear; King; King South; Sid, Sunrise, and Atlin, Black Gold, and Tora Tora and are undergoing initial exploration
Notes:
The company’s website hasn’t been fully updated since 2019. It appears that their exploratory drilling continues at most of their claims, but they are being less vocal about it. It could be they’re waiting for the completion of assay evaluations for Nickel Mt and Casper which should be done any day now, according to their material. Their fiscal year ends 30 Sep.
There have been a number of mining applications rejected by the government of British Colombia in recent years, so I wonder if that might affect the value of this company’s prospecting finds in that province.
Gratomic- CBULF $1.15, 3 May 2021
Outstanding Shares: 62.3m (135k according to 2020 corporate presentation)
Employees: ?
Market cap: 65.45m
Cash: 1m; 3.5m annual operating expenses
Operations:
1. Aukam Graphite Project, Namibia- Gratomic owns 63% of claim and is currently acquiring the remaining 37% from NextGraphite Inc.; construction of processing plant at site is almost complete and Company expects mining to begin Q4 2021; mine will produce vein graphite, which is the most rare and valuable type and currently only produced by Sri Lanka; Company believes it can produce 20k tonnes of graphite, of varying grades, per annum
2. Buckingham, Quebec- Initial exploration of graphite deposits; 100% owned
Notes:
Company plans to use a new, unnamed metals exchange plus TODAQ to trade its graphite production in crypto-currencies. Company will provide TODAQ with 5k tonnes of graphite for $25m as a reserve backstop for TODAQ crypto notes (TODA Notes or TDN). Gratomic wants to self-designate the graphite produced from its Aukam mine as “M97 grade.”
Gratomic has a sales agreement with Phu Sumika to supply 37.5k tonnes of graphite over five years for between $500-2,800 per tonne depending on grade. Company has a 50/50 profit agreement with Perpetuus to produce graphene nano-materials for Vittoria Tires and other customers from production facility in Swansea, Wales.
The Company had a major leadership shakeup in March 2020 with the resignations and replacement of almost all top officials. Company literature does not explain what precipitated the event.
The stock price is suspiciously low for a company that’s about to go into production of a fairly valuable commodity. My first guess would be that investors are a little nervous about the huge management shakeup last year, the use of crypto in selling the metal, the vaguely explained delays in securing the remaining ownership of Aukam, and perhaps the lack of verifiable information on the Namibia operation. For example, in their presentation, the company says it is “not prepared” to disclose the total expenses incurred in setting up the processing plant at Aukam.
Impact Silver- ISVLF $.56, 4 May 2021
Outstanding Shares: 144m
Employees: ?
Market cap: 82m
Cash: 20m; no debt
Operations:
1. Royal Mines of Zacualpan Silver District, Mexico- Includes the Guadalupe Production Centre which processes 500 tonnes per day from five mines: San Ramon Deeps (22%), Mirasol, Cuchara-Oscar (23%), Guadalupe (45%), and Veta Negra (10%). The Company may open a “Pachuqueno extension” in this area in the near future.
2. Capire-Mamatla Silver District, Mexico- Includes the Capire Production Centre with capacity to process 200 tonnes per day from the adjacent open pit mine of the same name; this mine is not currently in operation but company is evaluating whether to reopen it.
3. Exploration properties, Mexico- Include the Santa Teresa, Carlos Pecheco, San Ramon Deeps, San Juan, Huatecosco, and Chapanial properties near Guadalupe and Manto America property near Capire. Properties show varying degrees of promise and Impact has not announced further development of any of them so far.
Notes:
Company earned a net profit of $2.3m for 2020 on production of 646.5k oz silver. I’m not sure why this company’s stock price is so low in spite of being in the black on earnings. Company’s website is not fully updated, showing mines as still closed (Guadalupe) in spite of reopening in 2018. The company has issued only four press releases in 2021 to date, and its full 2020 financials weren’t announced until March 24, 2021.
I could be wrong since I’m not confident in my ability to read the ore assessment numbers, but it appears that this company is treading very carefully on its rock processing because the silver ore percentage in their claims may be lower than the industry average. They seem to be very careful about not projecting high confidence in future operations to their current or potential shareholders. One indication is that the company indicates that current market price for silver, in spite of being high, may not be sufficient to enable full reopening of all their mines.
Also, the company’s reports are more vague than other companies. For example, they don’t have an extensive list of detailed risks in their annual report. Instead, it’s very perfunctory. Most mining companies have an upbeat, positive, optimistic, open vibe in their press releases, financial reports, and presentations, but this company is more circumspect and cautious. I would think that a company with a functioning silver mine producing several hundred thousand ounces a year with silver at the current prices would be more happy about it.
Callinex Mines- CLLXF $2.44, 28 Apr 2021
Outstanding Shares: 13m
Employees: ?
Market cap: 32m
Cash: 246k
Operations:
1. Flin Flon, Manitoba- Includes Pine Bay “Rainbow” discovery containing copper, gold, silver, and zinc.
2. Bathurst, New Brunswick- Includes Nash Creek, Headway, and Superjack deposits of estimated 963m lbs of zinc. Also, near-surface silver vein at Nash Creek. A 2018 preliminary economic assessment recommended further exploration of the claim directed at future development.
3. Pt. Leamington, Newfoundland- Initial exploration indicates deposits of 577m lbs of zinc, 484k oz gold, 7.7m oz silver, and 130m lbs copper.
Notes:
The company’s literature states only that it will be continuing exploratory drilling of the three properties during 2021. It does not give a timeline for a final feasibility study for each. Callinex has partial ownership in a graphite deposit claim in Manitoba, but is in the process of selling it to Global Li-Ion Graphite Corp. This company appears to give good exposure to zinc mining, which is often sidelined as a by-product by most other precious metals miners.
I’m not sure why the stock price is so high for this company when it doesn’t even have a timeline for completing its final development feasibility assessment. It could be that the mineral deposits the company has found so far are above-average in quality. The low number of outstanding shares is probably a contributor as well, and I commend the company for making an effort not to oversell shares to finance their operations. Still, I would expect the stock price to come down a little while investors are waiting for them to make a production decision.
Clarity Gold- CLGCF $.87, 30 Apr 2021
Outstanding Shares: 28m
Employees: ?
Market cap: 26m
Cash: 48k; no debt
Operations:
1. Destiny, Quebec- Gold claim; Clarity is in the process of acquiring 100% ownership; intermediate exploration
2. Empirical, BC- Gold, Copper, and Molybdenum claim; Company currently in process of acquiring 100% ownership; intermediate exploration
3. Tyber, Vancouver Island, BC- 100%-owned, gold, copper, and silver claim; preliminary exploration
4. Gretna Green, Vancouver Island, BC- 100%-owned gold, copper, and silver claim; preliminary exploration
Notes:
Incorporated on 11 Sep 2019. IPO on 25 June 2020. I’m not sure that this company should be optimistic about their BC exploration, as several mining companies have had their mining permits denied by the green weenies in the BC provincial government recently. Their Quebec claim is probably the most promising.
This stock is a little expensive for a company that is still in the exploration stage, but apparently the low number of outstanding shares, the leadership team, and the exploration results so far have helped the share price. Likely three years, at least, from opening a mine and starting production.
E3 Metals- EEMMF $1.84, 30 Apr 2021
Outstanding Shares: 50m
Employees: ?
Market cap: 77m
Cash: 6m
Operations:
1. Clearwater Project, Alberta- Proposed lithium harvesting operation from undergound acquifer brine water (beneath oil and gas fields); projected 20-year lifespan w/ 20k tonnes of lithium produced annually; 3.4 year payback w/ ultimate production totals estimated at $1.1b vs ~700k in total production costs; company plans to conduct test production throughout 2021
2. Exshaw, Rocky, Sunbreaker, Drumheller, and Medowbrook-Rimbey- exploratory projects in same general area as Clearwater; company does not provide timeline of exploration of these projects in its literature
Notes:
On January 25, 2021 the Livent Corporation (larger lithium producer) withdrew from its partnership with E3 to develop their lithium extraction technology, citing costs. Subsequently, E3 partnered with Devco for processing technology development. In April 2021, the government of Alberta awarded E3 a grant of $1.8m to assist in their development of the lithium extraction technology.
Main risk seems to be with their processing technology, which they appear to primarily be developing themselves rather than using established processes. If their technology works well during their testing phase over the next year or so, they could be starting major production within a couple of years. Hiccups with the tech, of course, could cause delays.
If the hype over lithium production continues as is, once this company declares start of full production, its share price should jump to close to double-digits, especially if their number of outstanding shares remains as low as it currently is.
Garibaldi Resources- GGIFF $.36, 30 Apr 2021
Outstanding Shares: 121.5m
Employees:
Market cap: 45m
Cash: 336k
Operations: The company appears to be exploration only and plans to license, option, and/or sell its finds to other mining companies
1. Nickel Mountain, BC- Part of the Company’s E&L claim and its premier prospect; exploration over several years has found significant presence of high-grade nickel, copper, cobalt, and rhodium, palladium, platinum, plus some gold and silver; assessment to be released in 2021 while exploratory drilling continues
2. Casper Project, BC- Part of the Company’s Palm Spring claim; exploration during 2020 produced promising indications of gold; assay results to be released in 2021 while exploratory drilling continues
3. Mexico claims- La Patilla, Sinaloa; Iris, Chihuahua; Sonora; undergoing initial exploration
4. Other BC claims- Red Lion; Grizzly; Golden Bear; King; King South; Sid, Sunrise, and Atlin, Black Gold, and Tora Tora and are undergoing initial exploration
Notes:
The company’s website hasn’t been fully updated since 2019. It appears that their exploratory drilling continues at most of their claims, but they are being less vocal about it. It could be they’re waiting for the completion of assay evaluations for Nickel Mt and Casper which should be done any day now, according to their material. Their fiscal year ends 30 Sep.
There have been a number of mining applications rejected by the government of British Colombia in recent years, so I wonder if that might affect the value of this company’s prospecting finds in that province.
Gratomic- CBULF $1.15, 3 May 2021
Outstanding Shares: 62.3m (135k according to 2020 corporate presentation)
Employees: ?
Market cap: 65.45m
Cash: 1m; 3.5m annual operating expenses
Operations:
1. Aukam Graphite Project, Namibia- Gratomic owns 63% of claim and is currently acquiring the remaining 37% from NextGraphite Inc.; construction of processing plant at site is almost complete and Company expects mining to begin Q4 2021; mine will produce vein graphite, which is the most rare and valuable type and currently only produced by Sri Lanka; Company believes it can produce 20k tonnes of graphite, of varying grades, per annum
2. Buckingham, Quebec- Initial exploration of graphite deposits; 100% owned
Notes:
Company plans to use a new, unnamed metals exchange plus TODAQ to trade its graphite production in crypto-currencies. Company will provide TODAQ with 5k tonnes of graphite for $25m as a reserve backstop for TODAQ crypto notes (TODA Notes or TDN). Gratomic wants to self-designate the graphite produced from its Aukam mine as “M97 grade.”
Gratomic has a sales agreement with Phu Sumika to supply 37.5k tonnes of graphite over five years for between $500-2,800 per tonne depending on grade. Company has a 50/50 profit agreement with Perpetuus to produce graphene nano-materials for Vittoria Tires and other customers from production facility in Swansea, Wales.
The Company had a major leadership shakeup in March 2020 with the resignations and replacement of almost all top officials. Company literature does not explain what precipitated the event.
The stock price is suspiciously low for a company that’s about to go into production of a fairly valuable commodity. My first guess would be that investors are a little nervous about the huge management shakeup last year, the use of crypto in selling the metal, the vaguely explained delays in securing the remaining ownership of Aukam, and perhaps the lack of verifiable information on the Namibia operation. For example, in their presentation, the company says it is “not prepared” to disclose the total expenses incurred in setting up the processing plant at Aukam.
Impact Silver- ISVLF $.56, 4 May 2021
Outstanding Shares: 144m
Employees: ?
Market cap: 82m
Cash: 20m; no debt
Operations:
1. Royal Mines of Zacualpan Silver District, Mexico- Includes the Guadalupe Production Centre which processes 500 tonnes per day from five mines: San Ramon Deeps (22%), Mirasol, Cuchara-Oscar (23%), Guadalupe (45%), and Veta Negra (10%). The Company may open a “Pachuqueno extension” in this area in the near future.
2. Capire-Mamatla Silver District, Mexico- Includes the Capire Production Centre with capacity to process 200 tonnes per day from the adjacent open pit mine of the same name; this mine is not currently in operation but company is evaluating whether to reopen it.
3. Exploration properties, Mexico- Include the Santa Teresa, Carlos Pecheco, San Ramon Deeps, San Juan, Huatecosco, and Chapanial properties near Guadalupe and Manto America property near Capire. Properties show varying degrees of promise and Impact has not announced further development of any of them so far.
Notes:
Company earned a net profit of $2.3m for 2020 on production of 646.5k oz silver. I’m not sure why this company’s stock price is so low in spite of being in the black on earnings. Company’s website is not fully updated, showing mines as still closed (Guadalupe) in spite of reopening in 2018. The company has issued only four press releases in 2021 to date, and its full 2020 financials weren’t announced until March 24, 2021.
I could be wrong since I’m not confident in my ability to read the ore assessment numbers, but it appears that this company is treading very carefully on its rock processing because the silver ore percentage in their claims may be lower than the industry average. They seem to be very careful about not projecting high confidence in future operations to their current or potential shareholders. One indication is that the company indicates that current market price for silver, in spite of being high, may not be sufficient to enable full reopening of all their mines.
Also, the company’s reports are more vague than other companies. For example, they don’t have an extensive list of detailed risks in their annual report. Instead, it’s very perfunctory. Most mining companies have an upbeat, positive, optimistic, open vibe in their press releases, financial reports, and presentations, but this company is more circumspect and cautious. I would think that a company with a functioning silver mine producing several hundred thousand ounces a year with silver at the current prices would be more happy about it.
Here's a few more small company profiles, most of them mining, but not all. By the way, I don't know if you noticed, but today the market was up about .5%, but mining stocks, with a few exceptions, were up 5-8% across the board, including small, mid-cap, and large companies. One exception is a company I profiled earlier called America's Gold and Silver (USAS). They had a horrendous first quarter. Their new gold mine in Nevada underproduced because of unanticipated ore quality issues. So, it appears they decided that since the quarter was a bust, to go ahead and write-off some expenses they were holding onto so they would all get assigned to this one quarter. I personally think the company is still solid, so I took advantage of their steep drop in stock price (down 27%) and bought some more shares.
Irving Resources- IRVRF $1.57, 7 May 2021
Outstanding Shares: 61.8m
Employees: ?
Market cap: 95.8m
Cash: 16m
Operations:
1. Omu Gold-Silver Project, Hokkaido- Prospecting claims around closed Omui and Hokuryu mines; initial exploratory drilling was promising so company purchased five-year surface rights in 2020 from Ministry of Economy, Trade, and Industry (METI); increased (Phase 3) drilling being conducted in 2021 and is main focus of the company
2. Yamagano Property, Kyushu- Company purchased the rights to this prospecting area in 2020; near operating Hishikari Mine (Sumitomo Metals Mining) and hope to begin Phase 1 drilling Q4 2021
3. Shimokawa, Hokkaido- Prospecting area near closed copper mine; mapping phase
4. Engaru, Hokkaido- Near historic Konomai gold field; surface exploration in 2018 identified several areas for further exploration
5. Eniwa, Hokkaido- Prospecting area application near Sapporo under final approval review by METI
6. Utanobori, Hokkaido- Near Omui; prospecting rights application under final review by METI
7. Noto Peninsula, Ishikawa- Applied for prospecting licenses in March 2021
Notes:
Newmont Goldcorp owns ~9% of the company. In April 2021 Irving sold 3.5m additional private shares to Newmont. I suspect that if the exploration shows promise, Newmont will acquire controlling interest in the company and use Irving’s Japanese subsidiary for the mining operations. Irving uses Mitsui Mineral Development Engineering Co (MINDECO) as its main exploration contractor in Japan.
Company indicates in its literature that it will likely send any mined ore to off-site processing centers operated by other companies such as Sumitomo, Mitsui, Nippon Mining, Mitsubishi Dowa, and/or Toho Zinc for processing who can use them as smelter flux. There are currently no ore processing facilities in Hokkaido. Company appears to be doing a good job at prioritizing its potential opportunities, establishing an exploration plan, and keeping expenses down. That may have something to do with its share price which is a little high for a company that is still in exploration stage. Newmont’s involvement probably has an influence on the price also. Half of this company’s leadership team is Japanese.
I would expect that once they finish Phase 3 drilling at Omu later this year it will be followed by an economic feasibility assessment which seems to take about three months. So, optimistically, we might have a joint mining decision by Irving and Newmont at the Omu property by as early as mid-2022.
Japan Gold- JGLDF $.30, 7 May 2021
Outstanding Shares: 115m
Employees: ?
Market cap: 36m
Cash: 3.5m
Operations:
Thirty-one different prospecting areas on Kyushu, Honshu, and Hokkaido. Beginning February 2020, Barrick Gold corporation agreed to completely fund a two-year initial exploration of 29 out of the 31 prospecting areas. At the end of the two years (presumably February 2022) Barrick will fully fund an additional three-year “second evaluation phase” for the projects it decides are worth pursuing further. Japan Gold will manage the explorations during the first and second evaluation phases, with Barrick having the right to take over management if it chooses. Some of the properties had undergone initial exploration by Japan Gold prior to the agreement with Barrick. Barrick has approved a $4m budget for 2021 exploration activities.
Any area that progresses to “designated project” stage, either during the first or second evaluation phases, will have a pre-feasibility study funded by Barrick, who will then assume 51% interest in that project. At Barrick’s discretion, they will advance selected projects to “bankable feasibility study” at which point Barrick will assume 75% interest in the project. Japan Gold can elect to hold 25% interest for the full lifespan of the project.
The remaining two of the 31 prospecting areas (Itukahara, Hokkaido and Ohra-Takamine, Kyushu) are 100% controlled by Japan Gold but will explore them in partnership with Newmont Goldcorp with Newmont increasing its interest in those projects up to 20% at its discretion (currently 13%) by way of purchases of Gold Japan stock.
Notes:
It appears that the company has obtained all the prospecting permits that it needs from METI for the 31 projects. I did not see any mention in the company’s literature of its incorporation of a Japanese subsidiary, which is required for a foreign company to do business in Japan. Three out of 11 members of Company’s leadership/directors team are Japanese.
The company’s literature does not identify which contractor or personnel is conducting their field work in Japan. Nevertheless, the financial support of Barrick appears to be keeping things moving rapidly with this company’s exploration. Once these guys and/or Irving make a production decision, I expect the stock price to pop substantially, especially because of the backing of Newmont and Barrick for both companies.
Kuya Silver- KUYAF $1.84, 7 May 2021
Outstanding Shares: 34m
Employees: ?
Market cap: 71.45m
Cash: 5m
Operations:
1. Bethania, Peru- Pre-existing mine (ceased production in 2016) that Kuya acquired and is in the process of expanding and will construct an onsite processing plant; Kuya believes there are up to 8m oz of silver in the mine; the mine is not on the power grid and Kuya does not say how they plan to power the mining and processing operations; Kuya also holds prospecting licenses in same general area which it plans to explore in the future; currently conducting required environmental impact assessment and acquiring permit for plant from Peruvian government while initiating further drilling and exploration in 2021; Kuya hopes to have the plant constructed by Q4 2021 (may be overly optimistic)
2. Silver Kings/Kerr Project, Ontario- Joint venture with First Cobalt Corp.; will conduct phase 1 drilling operations in 2021; silver/cobalt deposit
Notes:
They didn’t have their 2020 financial or annual reports on their website; I had to go to SEDAR to get them. Company changed its name from Miramont Resources to Kuya Silver on September 30, 2020. 100% owns subsidiary Puno Gold Corp.
The company states in its presentation that it can start production at Bethania and perhaps Kerr concurrently with exploration and mapping activities by EOY 2021 or shortly thereafter. I think this may be a little optimistic but we’ll see. My own opinion is that they’ll start limited production at Bethania sometime in 2022 and Kerr in 2023. Hopefully, they won’t have to issue much more stock to finance it all, as their current number of outstanding shares is very favorable for valuation, as reflected in their current share price.
Leading Edge Materials- LEMIF $.17, 11 May 2021
Outstanding Shares: 147m
Employees: ?
Market cap: 29.37m
Cash: 2.6m
Operations:
1. Woxna Graphite Mine, Sweden- 100% owned, previously operating open pit graphite mine with current permit (to process up to 100,000 tonnes of mineralized material per annum) and onsite processing plant; LEM halted mining around 2019 because of lack of demand (and associated low prices) for “traditional” natural graphite; LEM is evaluating feasibility of upgrading processing plant to produce higher purity graphite via thermal purification; working with Forge Nano company of Colorado to add “atomic layer deposition coating” active anode to graphite from the mine; current price for lower-grade natural graphite is $3k per tonne; price for coated graphite is $9k per tonne
2. Norra Karr project, Sweden- Rare earths mineral prospect; Swedish mining commission denied LEM’s application to mine the deposit in May 2021; LEM will rewrite environmental impact statement and mining plan and appeal
3. Bihor Sud project, Romania- Nickel-cobalt exploration project with local company (REMAT Group); LEM has 51% interest with option to take to 90%; awaiting approval from government and resolution of legal matter to begin exploration
Notes:
Changed CEO and board of directors in May 2020; put more Europeans on the team because of change in focus to Europe. Company is vague on its timeline for Woxna should its feasibility assessment be favorable. If report is unfavorable, that plus the denial of the Norra Karr permit could put this company into inoperative status for some time since they won’t be working any projects. So, this stock is currently fairly risky. When the company decided to focus on Europe, they should have known that the green weenies in charge over there would get in the way of their mining aspirations.
Liquid Media- YVR $1.78, 13 May 21
Outstanding Shares: 13m
Employees: 4
Market cap: 24.34m
Cash on hand: 406k
Products: Centered on their business plan of creating a cloud-based global content production studio
1. Reelhouse- Video and video gaming on-demand streaming service. Includes Atari VCS. Also allows content creators to self-distribute their work to consumers. In partnership with Invoke and Arkitek for further development and expansion.
2. SlipStream- Subscription video on demand service featuring outdoor adventure films.
3. Liquid Media Token Platform- In development with CurrencyWorks to provide content creators with a way to monetize their products and services
4. Unity- Video and video game development and sharing service for independent filmmakers and game creators. Some independent reviews: https://www.trustradius.com/products/unity/reviews
Notes:
In November 2020, due to legal action the company lost ownership of subsidiary Majesco Entertainment Company, which had been a major source of their revenue. Liquid holds 49% interest in Waterproof Studios, an artist-collective content creation service in Vancouver, BC. Has an agreement with Arcana Studios to produce animated content for Liquid’s streaming services, including Reelhouse. In September 2020 partnered with Polycade Game Store to offer its retro gaming titles. Liquid has acquired the rights to several older Acclaim video games, such as Kwirk, upgraded and re-released them through its on-demand service and other services such as Steam and Xbox.
CEO and CFO of this company were each paid over $700k (perhaps Canadian dollars) in 2020 which seems kind of high for a company that is operating at a net loss, with such a small market cap, and only four employees. I’m not sure this company is worth investing in at this time at this price. Maybe if the stock price was under a dollar.
MamaMancinis- MMMB $2.57, 14 May 21
Outstanding Shares: 35.6m
Employees: ?
Market cap: 87.24m
Cash on hand: 3.7m
Products: Twenty-nine distinct food products, including beef meatballs, turkey meatballs, meatloaf, stuffed peppers, chicken parmesan, ravioli lasagna, sausage, “beyond meat” meatballs, and Publix Pasta Bowl. Several items are sold as prepared food in the deli or “fresh food” perimeter area of supermarkets, with other items sold frozen or in “meal kits.” Target market is customers looking to pay slightly more for higher-quality food products. Company says its products contain no soy, sodium phosphate, or hydrogenated oils. The products have been certified as “all natural” by the USDA.
Notes:
Company says it distributes to Walmart, Sam’s Club, Whole Foods, HEB, BJs, Costco, Albertson’s, Safeway, and Kroger, 45k stores total. Stock 47% insider ownership. Company states it is looking to acquire complementary food companies to facilitate expansion. The Company’s food service division, launched in 2020, is seeking to sell products to cafeterias, such as in hospitals, schools, and elderly care facilities, as well as convenience stores. Some products sold on QVC and Amazon. Most of the products are produced by its wholly-owned subsidiary, Joseph Epstein Food Enterprises. Company believes that fresh or deli food sales has best potential for profit, over frozen sales which produce much less revenue.
Currently operating in the black. Q4 2021 (FY) net income of 1.7m. Expects to be listed on the NASDAQ sometime in 2021. All corporate officers, including CEO, salaries max out at 190k. Amazing. Seems to me that current inflation in meat, especially beef, prices could affect this company’s bottom line. Still, this company appears to have fairly good potential for some growth, but I wouldn’t say it’s in the “market leader” category. I have been unable to find the product at my local Walmart, Costco, and Whole Foods to try it out.
Mason Graphite- MGPHF $.45, 17 May 2021
Outstanding Shares: 136m
Employees: ?
Market cap: 62.69m
Cash: 24m
Operations:
1. Lac Gueret property, Quebec- 100% owned graphite deposit. Mason currently assesses the economic situation as unfavorable (surplus of graphite in world markets) and has suspended financing operations for opening a pit mine at the property. Final feasibility study was completed and major equipment to begin mining and constructing the processing plant had been delivered to the location before suspension of operations in April 2020. The company believes that the property contains 11m tonnes of high-grade flake graphite and that the mine’s lifespan would be at least 25 years. Mason believes at full production it could produce 53k tonnes of graphite a year at 98% purity. The processing (concentrating) plant is 285km away from the mine at Baie-Comeau on St. Lawrence Seaway; will require 14-16 truckloads a day for 10 months out of the year to feed the plant ore from the mine. Company states that once production decision is made and financing secured, construction will take 12-18 months, followed by 4 month startup process to full production.
2. Value-Added Products Project- Project to produce high-grade graphite in the Quebec City area. The company apparently plans to begin by buying cheap, natural graphite from third-party sources and later transition to using ore from its Lac Gueret property. A processing plant will apply a coating (creating Coated Spherical Purified Graphite (CSPG)) that will upgrade graphite quality sufficiently to be used in lithium-ion batteries and other specialized industrial usages. Mason’s CSPG process is currently being tested in laboratory. Once final feasibility is determined (at non-specified date), construction of a larger plant will commence. Estimated four years to go from testing to full development and commercial production, starting 2019. So, apparently 2023?
Notes:
Company’s fiscal year ends June 30. Board of directors was almost entirely replaced in 2020. The company’s literature does not suggest when a decision will be made on beginning mining production at Lac Gueret, saying that the decision will be made once the economic situation is considered favorable. French-Canadian company based in Montreal.
Company’s number of outstanding shares is a little high and they may need to sell some more to fully finance startup of both of their projects. Nevertheless, their business plan appears to be credible and promising, based on current projections that the demand for graphite will continue to steadily increase. Since they are at least two years from commercial production, I believe stock price will stay under a dollar until they announce a major production decision, such as the start of construction of their factory.
Irving Resources- IRVRF $1.57, 7 May 2021
Outstanding Shares: 61.8m
Employees: ?
Market cap: 95.8m
Cash: 16m
Operations:
1. Omu Gold-Silver Project, Hokkaido- Prospecting claims around closed Omui and Hokuryu mines; initial exploratory drilling was promising so company purchased five-year surface rights in 2020 from Ministry of Economy, Trade, and Industry (METI); increased (Phase 3) drilling being conducted in 2021 and is main focus of the company
2. Yamagano Property, Kyushu- Company purchased the rights to this prospecting area in 2020; near operating Hishikari Mine (Sumitomo Metals Mining) and hope to begin Phase 1 drilling Q4 2021
3. Shimokawa, Hokkaido- Prospecting area near closed copper mine; mapping phase
4. Engaru, Hokkaido- Near historic Konomai gold field; surface exploration in 2018 identified several areas for further exploration
5. Eniwa, Hokkaido- Prospecting area application near Sapporo under final approval review by METI
6. Utanobori, Hokkaido- Near Omui; prospecting rights application under final review by METI
7. Noto Peninsula, Ishikawa- Applied for prospecting licenses in March 2021
Notes:
Newmont Goldcorp owns ~9% of the company. In April 2021 Irving sold 3.5m additional private shares to Newmont. I suspect that if the exploration shows promise, Newmont will acquire controlling interest in the company and use Irving’s Japanese subsidiary for the mining operations. Irving uses Mitsui Mineral Development Engineering Co (MINDECO) as its main exploration contractor in Japan.
Company indicates in its literature that it will likely send any mined ore to off-site processing centers operated by other companies such as Sumitomo, Mitsui, Nippon Mining, Mitsubishi Dowa, and/or Toho Zinc for processing who can use them as smelter flux. There are currently no ore processing facilities in Hokkaido. Company appears to be doing a good job at prioritizing its potential opportunities, establishing an exploration plan, and keeping expenses down. That may have something to do with its share price which is a little high for a company that is still in exploration stage. Newmont’s involvement probably has an influence on the price also. Half of this company’s leadership team is Japanese.
I would expect that once they finish Phase 3 drilling at Omu later this year it will be followed by an economic feasibility assessment which seems to take about three months. So, optimistically, we might have a joint mining decision by Irving and Newmont at the Omu property by as early as mid-2022.
Japan Gold- JGLDF $.30, 7 May 2021
Outstanding Shares: 115m
Employees: ?
Market cap: 36m
Cash: 3.5m
Operations:
Thirty-one different prospecting areas on Kyushu, Honshu, and Hokkaido. Beginning February 2020, Barrick Gold corporation agreed to completely fund a two-year initial exploration of 29 out of the 31 prospecting areas. At the end of the two years (presumably February 2022) Barrick will fully fund an additional three-year “second evaluation phase” for the projects it decides are worth pursuing further. Japan Gold will manage the explorations during the first and second evaluation phases, with Barrick having the right to take over management if it chooses. Some of the properties had undergone initial exploration by Japan Gold prior to the agreement with Barrick. Barrick has approved a $4m budget for 2021 exploration activities.
Any area that progresses to “designated project” stage, either during the first or second evaluation phases, will have a pre-feasibility study funded by Barrick, who will then assume 51% interest in that project. At Barrick’s discretion, they will advance selected projects to “bankable feasibility study” at which point Barrick will assume 75% interest in the project. Japan Gold can elect to hold 25% interest for the full lifespan of the project.
The remaining two of the 31 prospecting areas (Itukahara, Hokkaido and Ohra-Takamine, Kyushu) are 100% controlled by Japan Gold but will explore them in partnership with Newmont Goldcorp with Newmont increasing its interest in those projects up to 20% at its discretion (currently 13%) by way of purchases of Gold Japan stock.
Notes:
It appears that the company has obtained all the prospecting permits that it needs from METI for the 31 projects. I did not see any mention in the company’s literature of its incorporation of a Japanese subsidiary, which is required for a foreign company to do business in Japan. Three out of 11 members of Company’s leadership/directors team are Japanese.
The company’s literature does not identify which contractor or personnel is conducting their field work in Japan. Nevertheless, the financial support of Barrick appears to be keeping things moving rapidly with this company’s exploration. Once these guys and/or Irving make a production decision, I expect the stock price to pop substantially, especially because of the backing of Newmont and Barrick for both companies.
Kuya Silver- KUYAF $1.84, 7 May 2021
Outstanding Shares: 34m
Employees: ?
Market cap: 71.45m
Cash: 5m
Operations:
1. Bethania, Peru- Pre-existing mine (ceased production in 2016) that Kuya acquired and is in the process of expanding and will construct an onsite processing plant; Kuya believes there are up to 8m oz of silver in the mine; the mine is not on the power grid and Kuya does not say how they plan to power the mining and processing operations; Kuya also holds prospecting licenses in same general area which it plans to explore in the future; currently conducting required environmental impact assessment and acquiring permit for plant from Peruvian government while initiating further drilling and exploration in 2021; Kuya hopes to have the plant constructed by Q4 2021 (may be overly optimistic)
2. Silver Kings/Kerr Project, Ontario- Joint venture with First Cobalt Corp.; will conduct phase 1 drilling operations in 2021; silver/cobalt deposit
Notes:
They didn’t have their 2020 financial or annual reports on their website; I had to go to SEDAR to get them. Company changed its name from Miramont Resources to Kuya Silver on September 30, 2020. 100% owns subsidiary Puno Gold Corp.
The company states in its presentation that it can start production at Bethania and perhaps Kerr concurrently with exploration and mapping activities by EOY 2021 or shortly thereafter. I think this may be a little optimistic but we’ll see. My own opinion is that they’ll start limited production at Bethania sometime in 2022 and Kerr in 2023. Hopefully, they won’t have to issue much more stock to finance it all, as their current number of outstanding shares is very favorable for valuation, as reflected in their current share price.
Leading Edge Materials- LEMIF $.17, 11 May 2021
Outstanding Shares: 147m
Employees: ?
Market cap: 29.37m
Cash: 2.6m
Operations:
1. Woxna Graphite Mine, Sweden- 100% owned, previously operating open pit graphite mine with current permit (to process up to 100,000 tonnes of mineralized material per annum) and onsite processing plant; LEM halted mining around 2019 because of lack of demand (and associated low prices) for “traditional” natural graphite; LEM is evaluating feasibility of upgrading processing plant to produce higher purity graphite via thermal purification; working with Forge Nano company of Colorado to add “atomic layer deposition coating” active anode to graphite from the mine; current price for lower-grade natural graphite is $3k per tonne; price for coated graphite is $9k per tonne
2. Norra Karr project, Sweden- Rare earths mineral prospect; Swedish mining commission denied LEM’s application to mine the deposit in May 2021; LEM will rewrite environmental impact statement and mining plan and appeal
3. Bihor Sud project, Romania- Nickel-cobalt exploration project with local company (REMAT Group); LEM has 51% interest with option to take to 90%; awaiting approval from government and resolution of legal matter to begin exploration
Notes:
Changed CEO and board of directors in May 2020; put more Europeans on the team because of change in focus to Europe. Company is vague on its timeline for Woxna should its feasibility assessment be favorable. If report is unfavorable, that plus the denial of the Norra Karr permit could put this company into inoperative status for some time since they won’t be working any projects. So, this stock is currently fairly risky. When the company decided to focus on Europe, they should have known that the green weenies in charge over there would get in the way of their mining aspirations.
Liquid Media- YVR $1.78, 13 May 21
Outstanding Shares: 13m
Employees: 4
Market cap: 24.34m
Cash on hand: 406k
Products: Centered on their business plan of creating a cloud-based global content production studio
1. Reelhouse- Video and video gaming on-demand streaming service. Includes Atari VCS. Also allows content creators to self-distribute their work to consumers. In partnership with Invoke and Arkitek for further development and expansion.
2. SlipStream- Subscription video on demand service featuring outdoor adventure films.
3. Liquid Media Token Platform- In development with CurrencyWorks to provide content creators with a way to monetize their products and services
4. Unity- Video and video game development and sharing service for independent filmmakers and game creators. Some independent reviews: https://www.trustradius.com/products/unity/reviews
Notes:
In November 2020, due to legal action the company lost ownership of subsidiary Majesco Entertainment Company, which had been a major source of their revenue. Liquid holds 49% interest in Waterproof Studios, an artist-collective content creation service in Vancouver, BC. Has an agreement with Arcana Studios to produce animated content for Liquid’s streaming services, including Reelhouse. In September 2020 partnered with Polycade Game Store to offer its retro gaming titles. Liquid has acquired the rights to several older Acclaim video games, such as Kwirk, upgraded and re-released them through its on-demand service and other services such as Steam and Xbox.
CEO and CFO of this company were each paid over $700k (perhaps Canadian dollars) in 2020 which seems kind of high for a company that is operating at a net loss, with such a small market cap, and only four employees. I’m not sure this company is worth investing in at this time at this price. Maybe if the stock price was under a dollar.
MamaMancinis- MMMB $2.57, 14 May 21
Outstanding Shares: 35.6m
Employees: ?
Market cap: 87.24m
Cash on hand: 3.7m
Products: Twenty-nine distinct food products, including beef meatballs, turkey meatballs, meatloaf, stuffed peppers, chicken parmesan, ravioli lasagna, sausage, “beyond meat” meatballs, and Publix Pasta Bowl. Several items are sold as prepared food in the deli or “fresh food” perimeter area of supermarkets, with other items sold frozen or in “meal kits.” Target market is customers looking to pay slightly more for higher-quality food products. Company says its products contain no soy, sodium phosphate, or hydrogenated oils. The products have been certified as “all natural” by the USDA.
Notes:
Company says it distributes to Walmart, Sam’s Club, Whole Foods, HEB, BJs, Costco, Albertson’s, Safeway, and Kroger, 45k stores total. Stock 47% insider ownership. Company states it is looking to acquire complementary food companies to facilitate expansion. The Company’s food service division, launched in 2020, is seeking to sell products to cafeterias, such as in hospitals, schools, and elderly care facilities, as well as convenience stores. Some products sold on QVC and Amazon. Most of the products are produced by its wholly-owned subsidiary, Joseph Epstein Food Enterprises. Company believes that fresh or deli food sales has best potential for profit, over frozen sales which produce much less revenue.
Currently operating in the black. Q4 2021 (FY) net income of 1.7m. Expects to be listed on the NASDAQ sometime in 2021. All corporate officers, including CEO, salaries max out at 190k. Amazing. Seems to me that current inflation in meat, especially beef, prices could affect this company’s bottom line. Still, this company appears to have fairly good potential for some growth, but I wouldn’t say it’s in the “market leader” category. I have been unable to find the product at my local Walmart, Costco, and Whole Foods to try it out.
Mason Graphite- MGPHF $.45, 17 May 2021
Outstanding Shares: 136m
Employees: ?
Market cap: 62.69m
Cash: 24m
Operations:
1. Lac Gueret property, Quebec- 100% owned graphite deposit. Mason currently assesses the economic situation as unfavorable (surplus of graphite in world markets) and has suspended financing operations for opening a pit mine at the property. Final feasibility study was completed and major equipment to begin mining and constructing the processing plant had been delivered to the location before suspension of operations in April 2020. The company believes that the property contains 11m tonnes of high-grade flake graphite and that the mine’s lifespan would be at least 25 years. Mason believes at full production it could produce 53k tonnes of graphite a year at 98% purity. The processing (concentrating) plant is 285km away from the mine at Baie-Comeau on St. Lawrence Seaway; will require 14-16 truckloads a day for 10 months out of the year to feed the plant ore from the mine. Company states that once production decision is made and financing secured, construction will take 12-18 months, followed by 4 month startup process to full production.
2. Value-Added Products Project- Project to produce high-grade graphite in the Quebec City area. The company apparently plans to begin by buying cheap, natural graphite from third-party sources and later transition to using ore from its Lac Gueret property. A processing plant will apply a coating (creating Coated Spherical Purified Graphite (CSPG)) that will upgrade graphite quality sufficiently to be used in lithium-ion batteries and other specialized industrial usages. Mason’s CSPG process is currently being tested in laboratory. Once final feasibility is determined (at non-specified date), construction of a larger plant will commence. Estimated four years to go from testing to full development and commercial production, starting 2019. So, apparently 2023?
Notes:
Company’s fiscal year ends June 30. Board of directors was almost entirely replaced in 2020. The company’s literature does not suggest when a decision will be made on beginning mining production at Lac Gueret, saying that the decision will be made once the economic situation is considered favorable. French-Canadian company based in Montreal.
Company’s number of outstanding shares is a little high and they may need to sell some more to fully finance startup of both of their projects. Nevertheless, their business plan appears to be credible and promising, based on current projections that the demand for graphite will continue to steadily increase. Since they are at least two years from commercial production, I believe stock price will stay under a dollar until they announce a major production decision, such as the start of construction of their factory.
Here are a few small biopharma/medtech companies I've researched recently. As you can see from the profiles, these companies follow the pattern of being high risk/high reward opportunities that includes most small pharma companies. Of the four below, it seems to me that Mereo has the best business plan for mitigating risks, but that doesn't necessarily mean they have the best chance at high future profits.
I think a warning sign with Invivo is that they are paying their CEO $1M a year in spite of not having any revenue. You can compare that to Mereo and Inspire whose CEOs make less than half that.
Genprex- GNPX $3.80, 30 Apr 21
Outstanding Shares: 43m
Employees: 12
Market cap: 169m
Cash: 56m
Products: Their major products are based on their proprietary Oncoprex nano-particle delivery system using gene therapy and immunotherapy to treat cancer. Their primary product is Reqorsa immunogene therapy which is a TUSC2 gene expressing plasmid that is encapsulated in a DOTAP cholesterol nanoparticle. The Company believes that Reqorsa, when used in conjunction with other cancer treatments such as AstraZeneca’s Tagrisso and Merck’s Keytruda, increases their effectiveness in reducing cancerous tumors.
1. Acclaim 1 (ONC-003)- Reqorsa + Tagrisso in treatment of non-small cell lung cancer (NSCLC); has received fast track designation (FTD) from the FDA; Phase 1b/2a trial ongoing with patients whose disease has continued to progress into Stage 4
2. Acclaim 2- treatment of NSCLC
a. ONC-004- Reqorsa + Keytruda; Phase 1 trial ongoing
b. ONC-001- Reqorsa monotherapy- Phase 1 trial completed in 2014 with 23 patients; 5 showed improvement; primary goal was to establish safe dosage levels
c. ONC-002- Reqorsa + Tarceva (generic name Erlotinib)- Phase 2a trial completed with 9 patients; 7 showed improvement but Company does not intend to continue trial apparently because it feels that ONC-3 & 4 show more promise
3. GPX-002 (DIA-001)- gene therapy treatment of Types 1 & 2 diabetes by replenishing insulin from pancreatic cells; preclinical
Notes:
The Company’s strategy, at least right now, appears to focus on teaming their treatments with other, established treatments, rather than promoting them as monotherapies. This company’s technology seems to be fairly innovative and promising, but could crash and burn in Phase 3 trials as other company’s have done. Assuming it passes current trials, it will still be 2-3 years, at least, before interim results from a Phase 3 trial become available. Therefore, there should be dips in this company’s stock price to provide dollar-cost averaging opportunities during that time.
They appear to have plenty of cash to fund clinical trials for the next couple of years, at least. Company wants to go ahead and initiate preclinical studies using their gene therapy and delivery platform on other types of cancers. The company did not develop these therapies themselves, but rather is licensing them from the University of Pittsburgh.
Inspire MD- NSPR $5.13, 5 May 21
Outstanding Shares: 7.85m (executed a 15-1 reverse stock split on 26 Apr 21)
Employees: 48
Market cap: 40.68m
Cash: 12.6m
Products: Stents to provide embolic protection from strokes or other vascular or coronary issues.
1. CGuard EPS (Embolic Prevention System)- Carotid stent using their proprietary MicroNet, a 20-micron polyethylene terephthalate mesh. Fits against the arterial wall to trap and maintain plaque stability. Beginning US trial in 2021 and will take about two years. Is already approved and being sold in 33 countries with 20k devices sold so far.
2. CGuard delivery devices- Accessories to assist in implanting CGuard EPS.
3. MGuard EPS- Coronary stent using MicroNet to trap and seal thrombus and ruptured plaque, preventing embolization while optimizing flow. Development of this product was suspended because of changes in preferred medical procedures related to the targeted disease to drug eluting stents which don’t work with MicroNet because it is bare metal.
4. PVGuard EPS- Peripheral treatment. Development currently suspended due to lack of funds.
5. NGuard- Neural treatment. Development currently suspended due to lack of funds.
Notes:
Apparently, this company has done a series of reverse stock splits over the years which is why their share price history looks so weird. Company’s leadership reduced their salaries by 50% in 2020 to reduce costs, perhaps associated with the decrease in sales attributable to the COVID pandemic. Their stents are manufactured and assembled in Israel and they have a current capacity at producing 1,200 per month.
Why aren’t their sales of this device in Europe and other countries where it is marketed very high? According to the Internet, Inspire’s big Pharma competitors are bribing (ahem, providing financial incentives) to doctors and medical companies to use their stents. Although Inspire states that their stents are superior to the competition, if their current sales are any indication, their potential customers aren’t necessarily convinced, although they may be persuaded by the aforementioned financial incentives from companies with deeper pockets.
If this company is unable to generate significant sales in the US once approved, I’m not sure how they’ll be able to stay in business. I would expect that they would sell their patents to the highest bidder and dissolve or negotiate an acquisition with someone else for pennies on the dollars of their value. Apparently, the market for medical devices like these is ruthlessly competitive, and I don’t see right now how they’ll be able to make headway against it. We’ll see.
InVivo Therapeutics- NVIV $.71, 7 May 21
Outstanding Shares: 34m
Employees: 6
Market cap: 23.25m
Cash: 19.5m
Products: Focusing on spinal cord injuries (SCI)
1. Neuro-Spinal Scaffold- a bioresorbable polymer scaffold that is designed for implantation at the site of injury within a spinal cord; licensed from Boston Children’s Hospital and Massachusetts Institute of Technology; current estimate of 285k patients with SCI in the US with about 15k new cases each year; will likely be classified by the FDA as a Class III medical device; InVivo is currently enrolling subjects into its clinical trial (named INSPIRE 2.0) for this device, but is apparently having trouble getting enough subjects and cannot predict when the full trial will begin; an initial trial (INSPIRE 1.0) in 2017 was halted after three subjects died, but it did give lessons in how to more safely surgically implant the device; patent expires 2027
2. Neuro-Spinal Scaffold w/ stem cells- Preclinical; collaboration with Q Therapeutics
Notes:
Company has a history of reverse stock splits as it struggles to get its single product through clinical trials. The issues with getting enough subjects for its current trial could result in a non-compliance declaration from the FDA in late 2021, which might force them to start over. The lack of progress on their trials is likely what has this stock price so depressed. If they don’t get the trial started by EOY 2021, they may be in serious trouble, although company believes they have sufficient cash to get through Q2 2023.
This is a high-risk/high-reward product. If they really can reverse someone’s paralysis with this device, their share prices should go through the roof as it would be a breakthrough achievement. Since it’s their only product, if it fails, they will likely fail with it. They don’t have much time as their patent expires in 2027. CEO is paid 1m and CFO 500k so looks like company’s leadership is making sure they get paid even if the company ultimately fails.
Mereo Biopharma- MREO $3.27, 30 May 21
Outstanding Shares: 108m
Employees: 38
Market cap: 347m
Cash: 32m
Products: Focus is mainly on rare cancers and other diseases
1. Etigilimab (anti-TIGIT)- Immune response initiator intended for rare cancerous tumors. Currently in Phase 1b/2 trial in partial combination with Nivolumab. Mereo 100% rights.
2. Alvelestat- Treatment of severe alpha-1 antitrypsin deficiency (AATD- a lung disease); 50k patients US/60k Europe. Currently in Phase 2 trial plus Phase 1b/2 trial for COVID-19 patients with Neutrophil Extracellular Traps (NETs). Interim results expected for both in Q4 2021. Drug was acquired from AstraZeneca who conducted initial trials on different diseases.
3. Setrusumab- Treatment of osteogenesis imperfecta (OI) (brittle bone disease); after a successful Phase 2 trial it is planned to undergo a Phase 2/3 trial in partnership with Ultragenyx starting Q3 2021. The trial may split into two for pediatrics and adults. Ultragenyx owns US commercialization rights for the drug and Mereo European rights. Ultragenyx has paid Mereo $50M for US rights and agrees to pay up to an additional $200M upon reaching certain developmental milestones. Each company will pay the other royalties from sales of the drug in the US and Europe. 25k patients US/32k Western Europe. Drug was acquired from Novartis and has received orphan, Priority Medicines (PRIME), and rare pediatric disease designations.
4. Navicixizumab (Navi)- Treatment of late line ovarian cancer; completed Phase 1b trial; further development planned in partnership with OncXerna Therapeutics which owns the rights to the drug with an agreement for Mereo to receive up to $300M in proceeds from sales/royalties.
5. Acumapimod- Treatment of acute exacerbation of chronic obstructive pulmonary disease (AECOPD); successfully completed Phase 2 trial but Mereo is looking for a partner to help fund further development (Phase 3 trial) or to buy rights to the drug completely.
6. Leflutrozole- Treatment of infertility and Hypogonadotropic Hypogonadism (HH) in obese men; Successfully completed Phase 2 trial in 2018 and company is looking for a partner to pursue further development.
Notes:
This London-based company states that its strategy is to acquire drugs/treatments that are already initially developed by other companies, and/or partner with those or other companies to complete the clinical process to ultimately bring them to market. Mereo appears to be trying to replicate the successful business strategy of Ultragenyx. Company believes it has sufficient cash to fund operations into 2024. Outsources manufacture of its drugs. Executive salaries range from 100-400k which seems reasonable and not excessive. Company may not have a drug ready for market until 2024 at the earliest.
I think a warning sign with Invivo is that they are paying their CEO $1M a year in spite of not having any revenue. You can compare that to Mereo and Inspire whose CEOs make less than half that.
Genprex- GNPX $3.80, 30 Apr 21
Outstanding Shares: 43m
Employees: 12
Market cap: 169m
Cash: 56m
Products: Their major products are based on their proprietary Oncoprex nano-particle delivery system using gene therapy and immunotherapy to treat cancer. Their primary product is Reqorsa immunogene therapy which is a TUSC2 gene expressing plasmid that is encapsulated in a DOTAP cholesterol nanoparticle. The Company believes that Reqorsa, when used in conjunction with other cancer treatments such as AstraZeneca’s Tagrisso and Merck’s Keytruda, increases their effectiveness in reducing cancerous tumors.
1. Acclaim 1 (ONC-003)- Reqorsa + Tagrisso in treatment of non-small cell lung cancer (NSCLC); has received fast track designation (FTD) from the FDA; Phase 1b/2a trial ongoing with patients whose disease has continued to progress into Stage 4
2. Acclaim 2- treatment of NSCLC
a. ONC-004- Reqorsa + Keytruda; Phase 1 trial ongoing
b. ONC-001- Reqorsa monotherapy- Phase 1 trial completed in 2014 with 23 patients; 5 showed improvement; primary goal was to establish safe dosage levels
c. ONC-002- Reqorsa + Tarceva (generic name Erlotinib)- Phase 2a trial completed with 9 patients; 7 showed improvement but Company does not intend to continue trial apparently because it feels that ONC-3 & 4 show more promise
3. GPX-002 (DIA-001)- gene therapy treatment of Types 1 & 2 diabetes by replenishing insulin from pancreatic cells; preclinical
Notes:
The Company’s strategy, at least right now, appears to focus on teaming their treatments with other, established treatments, rather than promoting them as monotherapies. This company’s technology seems to be fairly innovative and promising, but could crash and burn in Phase 3 trials as other company’s have done. Assuming it passes current trials, it will still be 2-3 years, at least, before interim results from a Phase 3 trial become available. Therefore, there should be dips in this company’s stock price to provide dollar-cost averaging opportunities during that time.
They appear to have plenty of cash to fund clinical trials for the next couple of years, at least. Company wants to go ahead and initiate preclinical studies using their gene therapy and delivery platform on other types of cancers. The company did not develop these therapies themselves, but rather is licensing them from the University of Pittsburgh.
Inspire MD- NSPR $5.13, 5 May 21
Outstanding Shares: 7.85m (executed a 15-1 reverse stock split on 26 Apr 21)
Employees: 48
Market cap: 40.68m
Cash: 12.6m
Products: Stents to provide embolic protection from strokes or other vascular or coronary issues.
1. CGuard EPS (Embolic Prevention System)- Carotid stent using their proprietary MicroNet, a 20-micron polyethylene terephthalate mesh. Fits against the arterial wall to trap and maintain plaque stability. Beginning US trial in 2021 and will take about two years. Is already approved and being sold in 33 countries with 20k devices sold so far.
2. CGuard delivery devices- Accessories to assist in implanting CGuard EPS.
3. MGuard EPS- Coronary stent using MicroNet to trap and seal thrombus and ruptured plaque, preventing embolization while optimizing flow. Development of this product was suspended because of changes in preferred medical procedures related to the targeted disease to drug eluting stents which don’t work with MicroNet because it is bare metal.
4. PVGuard EPS- Peripheral treatment. Development currently suspended due to lack of funds.
5. NGuard- Neural treatment. Development currently suspended due to lack of funds.
Notes:
Apparently, this company has done a series of reverse stock splits over the years which is why their share price history looks so weird. Company’s leadership reduced their salaries by 50% in 2020 to reduce costs, perhaps associated with the decrease in sales attributable to the COVID pandemic. Their stents are manufactured and assembled in Israel and they have a current capacity at producing 1,200 per month.
Why aren’t their sales of this device in Europe and other countries where it is marketed very high? According to the Internet, Inspire’s big Pharma competitors are bribing (ahem, providing financial incentives) to doctors and medical companies to use their stents. Although Inspire states that their stents are superior to the competition, if their current sales are any indication, their potential customers aren’t necessarily convinced, although they may be persuaded by the aforementioned financial incentives from companies with deeper pockets.
If this company is unable to generate significant sales in the US once approved, I’m not sure how they’ll be able to stay in business. I would expect that they would sell their patents to the highest bidder and dissolve or negotiate an acquisition with someone else for pennies on the dollars of their value. Apparently, the market for medical devices like these is ruthlessly competitive, and I don’t see right now how they’ll be able to make headway against it. We’ll see.
InVivo Therapeutics- NVIV $.71, 7 May 21
Outstanding Shares: 34m
Employees: 6
Market cap: 23.25m
Cash: 19.5m
Products: Focusing on spinal cord injuries (SCI)
1. Neuro-Spinal Scaffold- a bioresorbable polymer scaffold that is designed for implantation at the site of injury within a spinal cord; licensed from Boston Children’s Hospital and Massachusetts Institute of Technology; current estimate of 285k patients with SCI in the US with about 15k new cases each year; will likely be classified by the FDA as a Class III medical device; InVivo is currently enrolling subjects into its clinical trial (named INSPIRE 2.0) for this device, but is apparently having trouble getting enough subjects and cannot predict when the full trial will begin; an initial trial (INSPIRE 1.0) in 2017 was halted after three subjects died, but it did give lessons in how to more safely surgically implant the device; patent expires 2027
2. Neuro-Spinal Scaffold w/ stem cells- Preclinical; collaboration with Q Therapeutics
Notes:
Company has a history of reverse stock splits as it struggles to get its single product through clinical trials. The issues with getting enough subjects for its current trial could result in a non-compliance declaration from the FDA in late 2021, which might force them to start over. The lack of progress on their trials is likely what has this stock price so depressed. If they don’t get the trial started by EOY 2021, they may be in serious trouble, although company believes they have sufficient cash to get through Q2 2023.
This is a high-risk/high-reward product. If they really can reverse someone’s paralysis with this device, their share prices should go through the roof as it would be a breakthrough achievement. Since it’s their only product, if it fails, they will likely fail with it. They don’t have much time as their patent expires in 2027. CEO is paid 1m and CFO 500k so looks like company’s leadership is making sure they get paid even if the company ultimately fails.
Mereo Biopharma- MREO $3.27, 30 May 21
Outstanding Shares: 108m
Employees: 38
Market cap: 347m
Cash: 32m
Products: Focus is mainly on rare cancers and other diseases
1. Etigilimab (anti-TIGIT)- Immune response initiator intended for rare cancerous tumors. Currently in Phase 1b/2 trial in partial combination with Nivolumab. Mereo 100% rights.
2. Alvelestat- Treatment of severe alpha-1 antitrypsin deficiency (AATD- a lung disease); 50k patients US/60k Europe. Currently in Phase 2 trial plus Phase 1b/2 trial for COVID-19 patients with Neutrophil Extracellular Traps (NETs). Interim results expected for both in Q4 2021. Drug was acquired from AstraZeneca who conducted initial trials on different diseases.
3. Setrusumab- Treatment of osteogenesis imperfecta (OI) (brittle bone disease); after a successful Phase 2 trial it is planned to undergo a Phase 2/3 trial in partnership with Ultragenyx starting Q3 2021. The trial may split into two for pediatrics and adults. Ultragenyx owns US commercialization rights for the drug and Mereo European rights. Ultragenyx has paid Mereo $50M for US rights and agrees to pay up to an additional $200M upon reaching certain developmental milestones. Each company will pay the other royalties from sales of the drug in the US and Europe. 25k patients US/32k Western Europe. Drug was acquired from Novartis and has received orphan, Priority Medicines (PRIME), and rare pediatric disease designations.
4. Navicixizumab (Navi)- Treatment of late line ovarian cancer; completed Phase 1b trial; further development planned in partnership with OncXerna Therapeutics which owns the rights to the drug with an agreement for Mereo to receive up to $300M in proceeds from sales/royalties.
5. Acumapimod- Treatment of acute exacerbation of chronic obstructive pulmonary disease (AECOPD); successfully completed Phase 2 trial but Mereo is looking for a partner to help fund further development (Phase 3 trial) or to buy rights to the drug completely.
6. Leflutrozole- Treatment of infertility and Hypogonadotropic Hypogonadism (HH) in obese men; Successfully completed Phase 2 trial in 2018 and company is looking for a partner to pursue further development.
Notes:
This London-based company states that its strategy is to acquire drugs/treatments that are already initially developed by other companies, and/or partner with those or other companies to complete the clinical process to ultimately bring them to market. Mereo appears to be trying to replicate the successful business strategy of Ultragenyx. Company believes it has sufficient cash to fund operations into 2024. Outsources manufacture of its drugs. Executive salaries range from 100-400k which seems reasonable and not excessive. Company may not have a drug ready for market until 2024 at the earliest.
Don’t think Fidelity allows trading of pennies.
I believe PHIL is not available on a US-based OTC or pink sheet exchange which means that US-based brokers like Fidelity have to pay an "overseas exchange fee" to handle the trade. So, most of them won't allow it because of the extra cost. Vanguard will allow you to purchase shares like that, but they charge $50 to cover the fee.
I use Schwab and have never had an issue with OTC stocks and have never been charged a fee.
PHIL has officially run to a penny. Filings haven't even dropped yet but will hopefully this week. I wouldn't be surprised if this goes to .05 within a month and .25 this summer.
In general it seems the OTC is opening back up and looking more like it did in the Fall. Might be some real money to be made this summer.
In general it seems the OTC is opening back up and looking more like it did in the Fall. Might be some real money to be made this summer.