Molycorp Inc (NYSE:MCP) is a rare earths play that has been pounded. The stock is trading at $1.31, from a 52 week high of $7.59. This stock is forming a nice technical bottom and will likely see a major pop soon. Below are the three reasons.
1. On September 11th, 2014, Molycorp Inc (NYSE:MCP) secured $400 million of funding. This means they have enough cash to operate for quite some time before bankruptcy is an issue. If they can reach certain milestones, it is likely more funding will be made available. As Molycorp is trading at near bankruptcy levels, it is undervalued and likely will rise.
2. Rare earth is a main component of missiles and radar systems. With global conflict soaring, involving almost every major world power, prices are likely to go much higher. This will boost the chance of Molycorp meeting its key numbers and potentially turning a profit.
3. Per their press release on Tuesday, September 30th, 2014, "Molycorp Announces that its Expanded Leach System Has Now Been Placed Into Service at its Mountain Pass, California Facility". They appear to be on the right course of action, moving towards expanding production just as prices should begin to increase.
In addition, the chart has obviously bottomed on the daily, signal a technical pop on the horizon.
Gareth Soloway
InTheMoneyStocks
3 Reasons Why Molycorp Inc Has Major Upside
Started by
inthemoneystocks
, Oct 02 2014 02:42 PM
3 replies to this topic
#2
pisces
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Posted 02 October 2014 - 04:39 PM
Molycorp Inc (NYSE:MCP) is a rare earths play that has been pounded. The stock is trading at $1.31, from a 52 week high of $7.59. This stock is forming a nice technical bottom and will likely see a major pop soon. Below are the three reasons.
1. On September 11th, 2014, Molycorp Inc (NYSE:MCP) secured $400 million of funding. This means they have enough cash to operate for quite some time before bankruptcy is an issue. If they can reach certain milestones, it is likely more funding will be made available. As Molycorp is trading at near bankruptcy levels, it is undervalued and likely will rise.
2. Rare earth is a main component of missiles and radar systems. With global conflict soaring, involving almost every major world power, prices are likely to go much higher. This will boost the chance of Molycorp meeting its key numbers and potentially turning a profit.
3. Per their press release on Tuesday, September 30th, 2014, "Molycorp Announces that its Expanded Leach System Has Now Been Placed Into Service at its Mountain Pass, California Facility". They appear to be on the right course of action, moving towards expanding production just as prices should begin to increase.
In addition, the chart has obviously bottomed on the daily, signal a technical pop on the horizon.
Gareth Soloway
InTheMoneyStocks
a quick glance at a 1 year chart tells me,. the stock has not spend enough time on the bottom. 3 more month below $1.75 and I could see a pop to $ 2.40. just saying it becomes possible,not saying its gonna happen. BUT a lot of times ,what I see is meaningless
Best of luck.
#3
PorkLoin
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Posted 02 October 2014 - 05:42 PM
the chart has obviously bottomed on the daily, signal a technical pop on the horizon.
Dude, your post closely coincided with the high of the day... C'mon, man.....
#4
PrincelyM
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Posted 02 October 2014 - 06:08 PM
the chart has obviously bottomed on the daily, signal a technical pop on the horizon.
Dude, your post closely coincided with the high of the day... C'mon, man.....
Why anyone would trade these kind of stocks is beyond me. USEL is one that was touted here recently. Look at it now. draggen I hope you got out?
