Sunday, July 10, 2011

Beating Dead Horse, LYSCF

I know i've been blowing the horn on Lynus Corporation a lot.  If you couldn't tell, i'm a fan.  I've some numbers to look at comparing some popular rare earth metal companies, specifically I want to look at trading volume.

Company                                       Average Trading Volume
MCP                                               6.46M
REE                                                 1.64M
AVL                                                 2.20M
GWG                                               1.08M
LYSCF                                            952,220


Lynus Corporation is the least traded of the big rare earth metal stocks.  The size of their operation and mining potential threatens to be the greatest of any rare earth metal mining company, including molycorp (MCP).  Apparently the secret isn't out.  Lynus's market cap is ~78% of Molycorp's, but their supply of rare earth metals in the coming year is going to be equal if not greater.  Lynus also reaps the benefits of a stable, strong currency in the Australian dollar.  Sure, Lynus isn't at full scale production yet, and they have just begun mining operations, but when the cat gets out of the bag this is going to be a good one.

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