We’ve had questions about several past “Idea of the Month” stocks in recent weeks, so for our last Friday File of August (we’ll be closed next week for vacation), I thought I’d try to update my thoughts on a few of the stocks I’ve suggested in the past.
And yes, in case you haven’t yet surmised the nature of human nature, questions are almost always about stocks that have dipped down or underperformed — It’s a rare day when I get urgent questions about stocks that are spiking up, so it’s not the solid performers I’m going to look at today … it’s the stinkers. Floating to the top of the pile for our cogitation today are Sprott Resource Lending (SILU), Sandstorm Metals & Energy (SND.V, STTYF), and RPX Corp (RPXC). I also took a quick updated look at another recent stock idea that dipped down, CVD Equipment (CVV), in an earlier article this week.
We do not manage the past “Idea of the Month” stocks as an active portfolio with buys and sells, as you know (though when it’s a stock I personally own I always tell you if I buy more or sell it), but I do promise to revisit these ideas at least once a year and I like to track them and note when there are big changes or lots of questions from readers, or when my opinion changes substantially enough that we drop them from our list (we don’t ever really drop them, of course — they’re still on the tracking spreadsheet, with several past lousy and embarrassing ideas that eventually went down by 90%+, but I usually stop writing about them and updating folks on them once I suggest selling or dropping a stock or it otherwise becomes dead to us). Everyone has their own portfolio management strategies, so I know a lot of folks try to set a consistent stop loss, or to buy in tranches, or to sell half after a 50% or 100% gain, but those are your choices for your portfolio, all I can offer is my opinion … so lets get into it.
Sprott Resource Lending and Sandstorm Metals are both financiers — SILU is essentially a BDC-type company that lends money to mining firms, and Sandstorm Metals uses the same streaming strategy that has been so successful for Sandstorm Gold to finance mining and energy ...