Your Inside Track to the Next Potential Runaway Stock
This is an exclusive pick for the CAPS blogs. I am hopeful that CAPS admins may elect to add Copper Fox Metals (CPFXF.PK) as a pickable stock within CAPS, such as was conveniently done for Great Panther when I highlighted that opportunity 200% ago.
I am reposting below (lightly modified) from a comment I just made in response to a question within a prior blog post.
What's not to love about Copper Fox? Seriously ... I should have picked that as my #1 stock (lack of a U.S. listing barred it from the running). It certainly should have been on my top-ten list, though (an oversight). I added a fair bit of Copper Fox during 2009 beneath $0.10, and I could easily see it giving SLW a run for its money as the top-performing stock of the sector from a 2008 low.
I can speculate as to what may be behind that amazing stock move today ... where Copper Fox stood out like a green thumb as the only significant counterpoint to systematic and broadbased selling in the sector. It's all about the updated resource estimate and the imminent feasibility study for Schaft Creek, among the top-three sweetest properties in British Columbia (alongside Mt. Milligan and Prosperity). Also, the company had initially intented to release an updated resource estimate for Schaft Creek during Octiber 2010, but delayed the release until Q12011 due to consistent success in identifying new discoveries and developing further strategic targets within the property. That's the sort of delay a Fool doesn't mind waiting for. I think the market is moving shares in anticipation of a strong resource expansion from 2010 exploration.
This company has TCK in a very unusual earn-in option agreement at Schaft Creek, by which Teck could earn a 75% stake by covering essentially all construction costs and providing for project financing. With copper prices strengthening and this gem sitting in Teck's back yard, furthermore, perhaps some are speculating that buyout interest may follow (or even precede) the release. Teck may just be keen to consolidate that stake. The resources remain severely undervalued, in my opinion, despite the run-up of late (see the long-term chart for context!).
Copper Fox still trades at 12.3% of the NPV at Schaft Creek. I see plenty of room for sustained buying interest.
Disclosure: I own shares of Copper Fox Metals.