When you compare KZL to the Zinc price you see a strong correlation with share price performance. Whether your in Terramin, Perilya or other zinc producers, the charts all look all look the same. KZLs future performance is tied to the performance of the zinc price and is only about fundamentals. Granted zinc prices could remain in the dumps for the next 6 months given the worsening debt situation in Europe but this will also exaccerbate the supply side problem in 12 months time as miners cut production. I guess it depends on your timeframe. If you can hang in for 6 months, you'll make your money back. If you have a long-term view given we are only 11 years into the average 25 year commodity bull-run, then you'll make a lot more by holding for 2-3 years. 20-30-40c will be nothing for stocks worth $1-$2 plus in 12-18 months time.
KZL Price at posting:
33.0¢ Sentiment: LT Buy Disclosure: Held
