Several weeks ago I bought First Majestic Silver (AG) (FR.to) shares, with the idea being to have it as my risk exposure to silver. Of course when you buy you think you’re buying at the right time and getting value for money, but as the price chart will tell you at the slightest glance…
…that was indeed my horrible mistake. So that was then, this is now and rather than lament the past it’s high time to deal with the future. Is this a totally broken company with debt that will drag it down to nothing (like Allied Nevada, for example) or is this a case of a market being overly pessimistic on a quality operator that should bounce back and deliver a big gain once the silver price waterfall is done? That’s the question on my mind today, therefore this weekend’s edition of The IKN Weekly will have FR.to as its main focus and try to decide whether I should a) add some and average down, b) hang tough and hold through this period of übernasty c) sell and be done with a painful loser.