For the stock of Zinccorp Resources Inc. (CVE:ZN), (PINK:ZCPRF) September brings nothing new and nothing better. On the TSX Venture Exchange (CVE), the shares continue their negative movement. The company’s managers must have get accustomed to it though. ZN started its fall around twenty months ago. Since then, the stock has been declining relentlessly.
The bottom was perhaps reached in the middle of this month when the shares noted their all-time low of $0.04. Still, we can see some feeble light in the tunnel. Last Friday, the stock went slightly up on the TSX Venture Exchange. Gaining about 11% from previous close, ZN ended the trade at $0.050. Perhaps, this is some kind of relief, at least for the time being.
However, this gives absolutely no guarantee about a positive come-back of the shares in the near future. It is not clear if and how ZN will manage to make up lost ground on the Canadian Exchange. The price decline has been really huge – the stock started 2011 somewhere around the $0.20 level. Back in the beginning of 2010, ZN was traded for no less than $0.65.
Since the beginning of August, Zinccorp has been silent. No official news has been released by the corporation. This gives further doubts about a quick recovery of the stock on the markets.
Nevertheless, a positive move in the share-price is not impossible. The company owns a number of projects in Yukon, which it considers to be highly prospective with prominent mineral resources. Besides, Zinccorp enjoys the interest of a famous investor – Mr. Maxwell Munday, a man with private placements in a large number of corporations, as we can see here.
The problem is that the company’s fundamentals do not look solid enough. Zinccorp has no revenues and has recorded a loss of $0.96M which includes a $792K write-off of mineral property for the quarter ended May, 31.
