NST - The longterm outlook

Its been a hefty ride in the last couple of weeks/months. Who would have guessed the market would be looking so favorably on the Pogo acquisition, and then so negatively on the weaker December quarter just to rebound so quickly after some surely excellent result from Pogo.

Well I surely didn't. To be honest I was quite surprised by the sharp share price movements in both directions. But anyway I didn't care either way, because I am here to stay for quite some time, as I see it. I have stated several time in the past, that NST has all the ingredients for a retirement investment, and a still stick to this declaration.

From the the rational perspective of a retail investor, who has lost faith in the financial system (all this money printing, negative interest rates, practically all countries drowning in debt, etc,etc) this company comes so very close to the perfect investment for me.

Its underlying asset is gold, the safest haven available, the only asset without a counterparty risk, making it perfectly situated for bad or worst case scenarios.

And even better, in the last few years, we had a bullish market scenario and still Northern Star outperformed practically all other major stocks on a worldwide basis, despite arguably being even better placed for the hard times.(which haven't come as of yet)

Of course this is due to the fact that NST is superbly run by staff and management. Proven time and time again. These people just know, how to dig gold out of the earth in a cost effective way, they know where to look for it , they keep the administrative overhead as small as possible, they have until now practically always underpromised and overdelivered, and there is no indication, that this is going to change.

IMHO , that is the main reason, that the market took the latest Pogo drilling results so positively. Just 4 months after NSTs management took over, there are already clear indications of a possible turnaround in Alaska. Once again, they are finding lots of more gold, where their predecessors couldn't. That is exactly what happened in Jundee and Kalgoorlie and the writing is on the wall, that this will also happen in Alaska...

In the conference call for the half yearly results, management clearly stated, that the next half year will be a lot better than the previous one, concerning AISC.
And IMHO there is every reason to belive this, just because of past experiences. I am invested here since 2014. I can't talk about the time previously, but since then , management has always underpromised and overdelivered. That is a consistent timeframe of 5 years, where targets where not only met, but excelled, practically every single time.

And thus NST has built a reputation !  And in that reputation I trust.

And unless proven otherwise, I will stay invested her, because I haven't found another company, that did even com close to these standards (safe haven potential, superbly managed, safe jurisdiction, outstanding longterm share price  are performance)

I always read about the traders actions, and surely NST has some hefty swings, so if you are good at it, there surely is a lot of money to be made. I would have just too much fear of missing out the upswings, and I believe there are some more to come.

I think it is evident, that NST will rather sooner than later take over EAR, having already a stake of over 20%, with the asset being just south of Jundee.
Also there have have been 2 major mergers (Barock-Randgold/Newmont-Goldcorp) in the gold sector lately. These new companies already announced, they are considering selling some of their assets. So maybe some of their mines are a potential perfect fit for Northern Star. 
We know from the past, that our management can literally make gold out of some written of assets...

With Pogo probably going the Jundee path, and some future acquisitions NST will rise in the hierarchy of the worlds top gold producers. To be very optimistic, if they keep doing what they are doing, why shouldn't they go all the way to the Top in the next couple of years ? Lets wait and see, but compared to what the biggest gold miners are achieving, our is clearly in another league !

So, to close this long post, all we longterm investors, know from experience, what a gem Northern Star truly represents, and there is every indication, that this continue for quite some time to come, regardless of the market direction...

Wantedman