The investment club met on May 11th which was the final meeting for the season. We will recommence in September, hopefully in person again when we can share coffee and cookies together. We had three presentations:
Copper – David MacDonald
Copper has enjoyed a huge price increase this past year. Most of the companies engaged in copper mining are also involved in gold, silver and zinc mining. We reviewed:
- Freeport McMoRan Inc., a US company
- Tech Resources, a Canadian company
- Copper Mountain, a junior mining company
Copper is a speculative investment. The price may double but the price may already be built into the present value of these stocks.
Chips – Eric Fines
Chips are semiconductors used in technology (electric vehicles, phones, etc.) There is presently a shortage of chips which is of concern for automakers and technology manufacturers. We reviewed:
- Taiwan Semi Manufacturing – a Taiwan company
- Nvidia
- Intel and Advance Micro Devices
We discussed purchasing Taiwan Semi Manufacturing but decided that we would wait until September to reassess. We hold Vanguard Info Tech ETF that is comprised of many high tech companies but not necessarily Chip manufacturers. Again, is the price already built into the Chip sector?
Lithium Resources in Canada – Linda Hasler
Rising demand for lithium is stoking prices for the electric battery metal. The United States and Canada are working together to build an electric vehicle supply chain between the two countries which results in more investments in exploration and mining. There are numerous Canadian lithium mining companies who are primarily at the exploration stage. We reviewed:
- Vision Lithium, a junior miner focused on battery minerals assets in Canada
- Wealth Minerals, focused on acquisition and lithium projects in South America.
- E3 Metals, resourcing lithium below surface in depleted oil reservoirs in Alberta
- Global Battery Metals, a Vancouver based company
- Rock Tech Lithium, one of the first lithium hydroxide producers outside China
All of these companies are penny stocks and have enjoyed great increases in their stock prices over the past year but have been going down over the past three months. We agreed that the stocks have probably been overbought and we will wait to see where they land.
We ended the meeting with no buys or sells.
Agenda for September Meeting
Our next meeting will be on Tuesday, September 14th at 2:00 pm. The location to be announced. The agenda will be:
- Review activities of last year’s portfolio
- Review portfolio to eliminate deadwood
- Look at new investments
Jim and Nancy have volunteered to work with David and Linda to review our portfolio prior to the September meeting when we plan to present our findings to everyone. Is anyone else interested in joining the group in late August or early September to do this review?
Probus Club of Kingsway-Islington 