Here is a performance chart of a dozen royalty companies that have been trading long enough to have data since coming out of the sector low for all asset classes in March.

(Tip: one can hover their mouse over each of the individual line graphs, to highlight one particular companies trajectory, and it is easier on the eyes).

FNV.TO – Franco Nevada
RGLD – Royal Gold
WPM.TO – Wheaton Precious Metals
OR.TO – Osisko Gold Royalties
SSL.TO – Sandstorm Gold
MTA.V – Metalla Royalty
MMX.TO – Maverix Metals
EMX.V – EMX Royalty
RZZ.V – Abitibi Royalties
GZZ.V – Golden Valley Mines
ELY.V – Ely Gold Royalties
FISH.V – Sailfish Royalties

https://stockcharts.com/freecharts/perf.php?FNV.TO,RGLD,WPM.TO,OR.TO,SSL.TO,MTA.V,MMX.TO,EMX.V,RZZ.V,GZZ.V,ELY.V,FISH.V&n=200&O=011000

Here is a performance chart for some of the remaining Royalty companies not on the prior chart, that either didn’t fit on that one, or don’t have data going back far enough to the March sector low. However, one can hover their mouse over each line to isolate that companies trajectory over the last 5+ months, but ideally each one should be charted independently. This is just for a quick look, and one can see that most of these smaller to medium royalty companies may represent better value at present pricing, that some of the larger names and higher flyers on the prior list/chart.

ELE.V – Elemental Royalties
OGN.V – Orogen Royalties
GMX.TO – Globex Mining
NSR.TO – Nomad Royalty
RRI.V – Riverside Resources
VOX.V – Vox Royalty

https://stockcharts.com/freecharts/perf.php?ELE.V,OGN.V,GMX.TO,NSR.TO,RRI.V,VOX.V&n=116&O=011000

I think the next 6 months might provide good opportunities for royalty companies

Would be interesting to do compare them by available cash positions

Agreed Thomas.

I was reviewing the Maverix Metals Corporate Presentation and this slide stood out that is comparing the Gross Cash Margin of the major Royalty companies. Quite interesting.

https://cdn-ceo-ca.s3.amazonaws.com/1g06hfe-Royalty%20Companies%20Gross%20Cash%20Margin.JPG

But cash margin is not equal cash position? -:)
Probably even better would be working capital

I guess the big ones have the largest working capital

Understood Thomas, but cash margins, show the future trajectory of growth, and the markets are forward looking. I more interested in how a company will grow, over what cash it has on the books at present, although, admittedly both are important.

The cash position of a royatly company does allow them to buy more royalties from companies, or lend to companies in exchange for an NSR or a stream, but companies like Metalla have done well just issuing their paper for royalties, so there are many factors to consider. Another old-school metric is their Price/Earnings ratio, but we’ve see those numbers get more and more stretched in many sectors, including in royalty companies valuations, so they can get higher and higher than they would have in previous market cycles. Still, a P/E ratio is another comparative lens to compare companies with, in conjunction with the other fundamental data.

With royalty companies it is also crucial to look at how their partners operations are doing and what the forecasted production numbers will be going into a given year, looking forward, more so than backwards as past successes. Also, it is key to look at which partner companies will go from development into production in the next year or 2 as those will not yet be reflective in revenues and cash flows, but as they get closer to production their value will grow larger in anticipation. Lot’s to consider.

This slide from Ely Gold Royalties presentation compared a number of different metrics, (Cash, Debt, Enterprise Value, Shares outstanding, Market Cap, etc…) but focused more Price/Net Asset Value comparisons.

https://cdn-ceo-ca.s3.amazonaws.com/1g06jv5-Ely%20Gold%20Royalties%20Peer%20Comparison.JPG

I was only looking for the next 6 months
Equity is probably not a good currency during a pull-back
Better you have enough cash at hand if a good opportunity arise

The cash and debt columns are interesting

Franco Nevada and EMX stand out, with large cash positions and no debt

Good points Thomas. Yes “Cash is King” in big wash out opportunities, and debt can be a stranglehold on companies in major contraction.

Yeah, looking at the table comparison of peer companies again on that Ely Gold Royalties slide above, it highlights how much Debt that Wheaton Precious Metals, Royal Gold, and Osisko Gold Royalties have on the books.

Good thoughts on the royalties Ex. I bought some SAnD when you mentioned last week cause I missed the first run and was surprised how far it had fallen.

Hey there Charles. Yes, (SAND) Sandstorm looks like much better value at today’s prices in the high to mid $6’s than it did in July in the mid $10’s.

What is wild is that obviously investors liked Sandstorm when (SAND) was $8, $9, $10, so now that it closed at $6.65 on Friday it’s a steal in comparison to where it was on July 27th at $10.54, and still has the exact same 200 royalties and streams in it’s portfolio of assets.

That is what I like to see –> a company with deep value from the assets in place underpinning it, that suddenly goes on fire sale during a corrective move lower by 37%. That basket of 200 royalties and streams didn’t change, but the price dropped by over 1/3 and almost by the Fib 38.2% retracement. Looks like a deal to me.

(SAND) (SSL) Sandstorm Gold – Corporate Presentation. (on clearance sale).

https://www.sandstormgold.com/_resources/presentations/SSL-Presentation.pdf

Thanks Ex. Considering locking in some gains on Metalla Royalty and getting into a few other royalty names. Considering Ely, EMX and/or buying more Sailfish. I am loaded up on Orogen as I really like the chart pattern there and the royalties they have with First Majestic.

Those are all good choices Charles and may your trading be prosperous.

As for the Royalty companies, I sold my Metalla and Vox Royatly positions, and trimmed back my Maverix position, and recently added to my Sandstorm, Ely Gold Royalty, and Sailfish positions. I still have Elemental, Golden Valley, and Nomad, and may add to them over time. I also may buy back Vox if it pulls back a bit from the move it made recently, and have considered Orogen that you mentioned.

I’m still eyeing the 4 base metals royalty companies for a buying opportunity as well.

………it is a FAKE FED……not even should it exist……

Economist……..Schooled by Who……….

The Board of Education…… come on ……do some homework…..

As a christian……no. 1………DEBT……..

If, I am reading you wrong……… sorry……..

The system is being rethought THomas.

China/Russia has been dropping the dollar for some time now as has a few other countries. Russia has more gold than dollars now.
EU wants to shield itself from US sanctions & cut dependence on dollar – reports

The U.S. is sanctioning itself out of significance.

With system I didn‘t just ment the monetary system with the dollar as world‘s lead currency

I ment the whole idea of any currency as abstract thing in exchange for any asset

We will see several singularity events over the next decade(s) that makes this idea obsolete

Thomas & b – Agreed that the whole financial system is being rethought.

After all, the theme in Davos this year is The Great Reset.

Get ready to have individual liberties trampled, in lieu of a more invasive Technocratic system, where they may even introduce draconian ideas like “Social Credit Scores” like China is doing, or worse, pander to certain demographics giving them some kind of adjusted scores based on social justice warrior narratives.

It is hard to know exactly where to diversify one’s wealth & savings these days with this great reset looming. {Cash savings in Fiat? Gold & Silver? Cryptocurrencies? General Equities? Bonds? Real Estate? Stake in a small business? Art & Collectibles? Earth 2.0?}

I am personally hoping for a world like in Star Trek -:)
A world without poverty and without currency in the way it is working today

The closest I got to living in a “world without poverty and without currency in the way it is working today” was living in Black Rock City, NV for 2 different weeks at 2 different Burning Man festivals, where cash was worthless (as nothing was for sale), and everything ran on a gift economy. It’s an interesting idea for a week or so, and quite utopian, but most of the gifts and infrastructure that the attendees bring was ultimately bought with the evil cash prior to the event. 🙂

_______________________________________

The Esoteric Economics Of Feeling The Burn

By: Pymnts – August 25, 2018

“For Burning boosters, the week-long, back-to-nature campout built around self-reliance, gifting, creativity and leaving no negative environmental trace is a utopian vision of what a post-capitalist, egalitarian society of cheerful sharers would be like.”

Among the event’s most famous features – enshrined in the 10 principles set forth by the founder, the late Larry Harvey – Burning Man is officially a commerce-free zone. There is no buying or selling, no stands, no marketing. There may be whiskey bars and sandwich shops at Burning Man, but everything is free – all products and services are offered by Burners as gifts. The only things that can be sold are coffee and ice.

And though the economy is occasionally described as a barter system, long-time Burners object that this is actually inaccurate.

Burners aren’t trading with each other. One does not offer up a grilled cheese sandwich in return for an umbrella to guard against the heat. There is no exchange – gifts are given as a sign of good will and community fellowship, not in hopes of receiving an object of commensurate value in return.

“The term ‘gift economy’ is a little misleading,” said Andie Grace, Burning Man’s longtime director of communications. “The term ‘economy’ often implies some aspect of exchange. But there’s no accounting, no expectation of receiving anything in return.”

And that experience has a major effect on those who consider the Black Rock desert their spiritual home.

“Burning Man blows up the siloes of economic stratification,” longtime burner Tom Price told Quartz. “It’s a society where despite your economic means, you can participate in everything the city offers, and you can’t just buy your way out of the problem in front of you.”

And while that is true, it does leave out the small fact that to participate in all of the “free” on offer at Burning Man, one has to pay to get there. And economic means do kind of matter there – because, as even Andie Grace acknowledged, participation is not exactly cheap.

“Don’t get me wrong,” Grace said. “This is not a commerce-free experience — Burners buy plenty of goods to bring into Black Rock City. It’s just a commerce-free zone.”

https://www.pymnts.com/news/retail/2018/burning-man-silicon-valley-gift-economy-festivals/#:~:text=A%20Gift%20Economy%20%E2%80%A6%20Among%20the%20event%27s%20most,no%20buying%20or%20selling%2C%20no%20stands%2C%20no%20marketing.

The only other alternative economic system I’ve seen operate in a similar fashion is the Michael Tellinger “Umbuntu Liberation Movement.” He is quite a charismatic character, and successfully took on big banks in Africa, and won. The basis idea here, is similar to Burning Man’s “Gift Economy” in that it encourages towns and communities to share their gifts & services with neighboring villages in collaboration, and in return they receive gifts & services.

Umbuntu is at least an interesting economic phenomenon and change to this kind of society would be more positive than the “Great Reset” that the technocratic globalist cabals have in store for the world.

__________________________________________________________

The Preamble to the Umbuntu Liberation Movement is as follows on their website:

“The socio-economic structure of our country and our world has failed us dramatically. The freedom that our forefathers strived for is in danger of being lost forever.”

We can no longer sit idly by, watching the destruction of our country, our towns, and human potential, by greedy corporations, supported by a government with no remorse for its actions, or accountability to the people it is supposed to serve.”

“We can no longer sit silently, hoping that someone will do something to stop this assault on our liberties and future prosperity.”

“It has fallen on the shoulders of the common people to unite and create a new way, a new system and a beautiful life for ourselves and our children.”

“The Ubuntu Movement has a simple plan to turn our small towns into places of abundance and prosperity for all the people, where there are no hurdles to progress or restrictions on personal growth of the people.”

“Communities that will support and promote unbridled creative expression in all areas of our lives – arts, culture, science, technology, healthcare, environment, architecture, agriculture, and all other areas of human activity.”

“We are creating a new system in which we turn competition into collaboration. A new society in which we all benefit from our collective efforts and individual talents. We will no longer be the slaves that enrich the corporations and a few powerful individuals.”

https://michaeltellinger.com/ubuntu/#:~:text=The%20Ubuntu%20Movement%20has%20a%20simple%20plan%20to,or%20restrictions%20on%20personal%20growth%20of%20the%20people.

There were some experiments with a free basic income

https://www.pri.org/stories/2020-06-16/canadian-universal-basic-income-experiment-has-been-life-changing-those

https://www.nature.com/articles/d41586-020-01993-3

Interesting that Corona was a trigger for some new experiments. Biden already proposed to give everybody another $1400 -:)

Steve Outtrim (HotDog) did some shows about ‘Burning Man’
with Jan Irvin awhile back, but their association devolved.
https://burners.me/2019/02/26/debunking-jan-irvin/

I’m personally less interested in the government going further into debt to give out more money to the people, and find that insane tax proposals used to fund all this “free” stuff is only destructive to the future generations that will be more in debt than ever, and there will be a price to pay for the fiscal malfeasance and erosion of confidence in the fiat money system, and predatory banking cabals.

I’m not a fan of the socialist impulses to let the government dole out universal basic income, money to some but not others based on arbitrary social justice criteria, or the bailing out businesses intervening in the free market (after the government has already intervened in bad policies and regulation to begin with).

Yes this pandemic really highlighted the inadequacy of governments all over the world to truly serve their citizens, to work together, and their policies only further crushed their populace.

What I liked about the Umbuntu Liberation Movement idea, at least philosophically, was that it had villages and towns working with other villages and towns collaboratively, sharing resources, services, and letting people contribute in the way that most helped their communities. Their point was not to rely on the government to fix anything, and that ultimately real change comes from people breaking out of the existing power system to chart their own futures. So that is apples and oranges from government stimulus checks or BUI.

In the UK they don‘t save a backup second dose to give more vaccinations in the first place.

To simplify it, one system (Umbuntu) has communities in Africa successfully working together and sharing resources/services/talent with other and are becoming more openly prosperous, where as in the other system nation-states and bankers had gradually eroded and suppressed freedoms, creativity, expression, and prosperity, suggesting instead to tax the crap out of those still working, to give to those that don’t, and to bankrupt the country to give out “free checks” and soon “debt foregiveness and free college”, while keeping the citizens sucking on the Nanny-state government teet.

All one has to do is look at the trainwreck that has been the European Union experiment, or Venezuela to see a preview of coming attractions….

… combined with the total Technocratic managing of the citizens by China.

Coming soon to an immunity pass paired with social credit score, and tallied by nations digital currencies. If you want any currency in the new system, then you must comply…

“Umbuntu Liberation Movement”
Communitarianism (communism)?

I believe their communitarianism is more village to village and person to person, and they abhor a large government state, are against big government, against taxation, and would rather be the change they want to see in the world, so quite a bit different than communism in most ways.

I guess in theory communism has a root in the world “community” just like “capitalism” has its root in capital, but capitalism has enabled the best way to serve the community compared to any other system up until this point in history, where as communism has destroyed and ravaged every county that has tried it, and it is a failed system.

What is different about the Umbuntu communitarianism, is there isn’t oppressive banking and monetary controls, or big government intervention, or collectivist mobs asking for special treatment or handouts, while stifling the individual liberties. In contrast they recognize the rights and importance of the individual, but encourage giving ones service to the community, for the betterment and overall prosperity of the community. More like a traditional “commune” in theory, but over time those only work in small communities and not in mega cities like Hong Kong or New York.

Many probably think like you about universal basic income

But it probably is the closest concept to Star Trek today where nobody has to work for basic living and everybody follows his profession and does what he is best in -:)

I believe their communitarianism is more village to village and person to person, and they abhor a large government state, are against big government, against taxation, and would rather be the change they want to see in the world, so quite a bit different than communism in most ways.

I guess in theory communism has a root in the world “community” just like “capitalism” has its root in capital, but capitalism has enabled the best way to serve the community compared to any other system up until this point in history, where as communism has destroyed and ravaged every county that has tried it, and it is a failed system.

What is different about the Umbuntu communitarianism, is there isn’t oppressive banking and monetary controls, or big government intervention, or collectivist mobs asking for special treatment or handouts, while stifling the individual liberties. In contrast they recognize the rights and importance of the individual, but encourage giving ones service to the community, for the betterment and overall prosperity of the community. More like a traditional “commune” in theory, but over time those only work in small communities and not in mega cities like Hong Kong or New York.

The of course, there is the more libertarian ideology of Anarcho-Capitalism. I like a lot of the ideas in this framework, and could see society moving more this way, rather than something draconian like The Great Reset.

_______________________________

“Anarcho-capitalism is a political philosophy and economic theory that advocates the elimination of centralized states in favor of a system of private property enforced by private agencies, free markets and the right-libertarian interpretation of self-ownership, which extends the concept to include control of private property as part of the self. In the absence of statute, anarcho-capitalists hold that society tends to contractually self-regulate and civilize through participation in the free market which they describe as a voluntary society.[1][2] Anarcho-capitalists support wage labour[3] and believe that neither protection of person and property nor victim compensation requires a state.[4] In a theoretical anarcho-capitalist society, the system of private property would still exist and be enforced by private defense agencies and insurance companies selected by customers which would operate competitively in an open market and fulfill the roles of courts and the police.”

“Anarcho-capitalists claim that various theorists have espoused legal philosophies similar to anarcho-capitalism. However, anarcho-capitalism was developed in the 20th century and the first person to use the term anarcho-capitalism was Murray Rothbard. Rothbard synthesized elements from the Austrian School, classical liberalism and 19th-century American individualist anarchists and mutualists Lysander Spooner and Benjamin Tucker while rejecting their labor theory of value and the anti-capitalist and socialist norms they derived from it. Rothbard’s anarcho-capitalist society would operate under a mutually agreed-upon “legal code which would be generally accepted, and which the courts would pledge themselves to follow”. This legal code would recognize contracts, private property, self-ownership and tort law in keeping with the non-aggression principle.”

https://en.wikipedia.org/wiki/Anarcho-capitalism

Most people follow power instinctively, expecting greater security.
Loyal leaders will gain power for the best interests of their folk.
Enemies seek it to manipulate them: to use or destroy them.

“That RSA report envisions a cultural shift towards what can only be described as the kind of communitarian agenda Amitai Etzioni has always hoped for. No wonder RSA had Harvard’s Robert Kegan (also the OECD’s Key Competences) and his stages vision over to speak. No wonder the Positive Behavior Mandates in the US and the actual definition of Career Ready track back to Etzioni by both function and a cited reference source. No wonder the architect of RSA’s UK ed vision, Guy Claxton, can also be found as the co-author of that 2002 book Learning for Life in the 21st Century that coughed up the importance of Piotr Galperin’s Soviet psychological research to creating desired predictable future behavior.”
http://invisibleserfscollar.com/tag/piotr-galperin/

Who are Kagan and Etzioni ultimately loyal to?

Today, racial loyalty is at the crux of events.

Thanks Ex, when I read your posts I am amazed at how intimate you are about the mysteries of Bay Street and Wall Street. It all leaves me wanting to learn more, and then there is the depth and range of knowledge you possess on all sorts of topics. There are so many people here that bring their magic and share it with others, Jerry, Matt, Irish Tony, Glen, Doc, b, and some more recent contributors like Wolfster, Charles, David, the list goes on. Lastly I must thank Big Al and Cory for being patient and bringing us all together. DT

I forgot to mention some other long time contributors like CFS, and Ebolan, I didn’t mean to leave anybody out but I am not involved in the political site anymore, I find it too divisive. DT

I have noticed that Mr. T and I am sorry. I personally simply listen to both sides of every story as best as I can.

Great comments DT. Yes, there is a solid group of savvy investors, interesting economic and geopolitical commentators, philosophers, and merry pranksters here at the KE Report, and the contributions from all those that take the time to share their insights and perspectives are appreciated.

Fear is being marketed to the sheeple, as they eagerly put on their own handcuffs. We mentioned this was all coming right at the onset, with contact tracing, authenticating, confirming you compliant, and in a not so distant future, it will not be optional, and folks will either be compliant, or if they resist will be socially ostracized and blocked from many parts of operating in the new world order.

___________________________________

What Is ImmunityPassport?

“The app lets you securely access various COVID-19 test results, get a probabilistic assessment of your immunity status and then share it with employers, officials or family members. ”

“We’re working with government officials, medical diagnostics companies, doctors and businesses to make the solution more robust every day…”

https://www.immunitypassport.co/

Thanks David for the follow up……interesting events coming forward…..puts a new spin on things…..JMO

Thanks again, Matthew.

About twice their capitalization
may smooth out the technicals.

Yeah, Standard Uranium is a newer uranium explorer with quite prospective land and promising early data, and Azarga Uranium is a lessor-followed uranium developer with a strategy to use ISR in-situ mining in the US, along the same lines as what Ur-Energy, Energy Fuels, and Peninsula Energy have done.

Most of the Uranium sector took a huge jump up in December last year, but I’ll be looking to add my portfolio of U positions as the pullbacks present themselves.