Latitude Consolidated; a promising new gold company

Even though I expressed positive comments last week, based on the breakouts of downtrends by many stocks, our local stock market last week was rather subdued. The fact that copper and gold prices continued to improve didn’t seem to matter as momentum seem to pause.

The news from Rumble Resources on the Earaheedy zinc discovery was well received by the market with the shares shooting to a high of 59.9¢. This was one of the rare occasions where you could afford to buy a day after the announcement and still make good money in subsequent days. It was definitely not an example of “buy on rumour and sell on news”.

A new gold company on the radar is Latitude Consolidated (LCD), at a market capitalisation of $39m with the share price trading at 5.1¢. Back in December 2020, it announced a deal whereby it purchased the Andy Well and Gnaweeda gold projects from Silver Lake Resources for $8m. Soon after it completed a two tranche placement of shares at 2¢, raising $10m.

 

 WeeklyComm24April2021.pdf