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+2,671% Return, Should You Invest in #WRN​ Western Copper and Gold Corp

 

            


    Portfolio Analysis - Western Copper -WRN #1


Name: Western Copper and Gold Corp 

Stock Exchange: NYSE-American (/ TSK-Canada) 

Symbol: WRN 

Headquarters: Vancouver, Canada

Market Cap: 218 Million 

    Western Copper is an exploration stage company, and is known for its Casino Project which is a copper-gold-molybdenum porphyry deposit located in Yukon, Canada. Allegedly, the Casino Project holds approximately 960 million tons mill ore and over 160 million tons heap leach. Please note, the company has not generated any revenue from mining operations - Webull 


    Lets go ahead and take a look at the significant historical events of this stock, as shown by the pictures below:  









Overview: 

Mortgage Crisis:

    Most people remember the mortgage crisis in 2008, stocks dropped across the globe, unemployment plummeted, people lost their savings and the economy was in rubble. WRN was no exception in March 2007 the price was $2.27 by the end of December 2008 the price was $0.162 it lost about 98% of its own stock worth. 


WRN -NYSE The Perfect Strom:

    The best year for this stock was in February 2011, with a high of $4.49, lets explain why it was the perfect storm. First and foremost, it joined the NYSE  before it was just in the Canadian Stock Exchange: TSK. Moreover, gold went up by $600 dollars, oil more then doubled, silver more then doubled and copper about tripled. Compared to 2008 with a low price of $0.162 versus the price in 2011 of $4.49. If you invested in 2008 and sold in 2011 with the highs and lows, one would receive $26 dollars for every $1 dollar, that is a 2,671% increase. 


 Economic Crash of 2016:

    It took 5 years for WRN to hit a low of $0.29, the economy in general was slow in 2016, the Chinese had a slight crash in Q1 of  2016. Furthermore, 2016 compared to 2011 gold went down, oil lost 2/3, silver lost more than 1/2 of its value, and copper lost more than 1/2 of its value. 


Trump Presidency: 

    Overall, economic future prediction was optimistic and bullish. Not to mention, gold, oil, silver, and copper all increased across the board, not by significant factors, but nonetheless all the prices of commodities increased. Which pushed the stock price to $1.773.


Corona Virus Epidemic:

    Last year, the stock hit another low of $0.324, needless to say, the panic of the corona virus epidemic pushed all stocks to a major low. 


Up to Date:

    As of February 2021, the stock managed a nice recovery sitting somewhere between $1.55. Since March 2020, oil about tripled, silver doubled, and copper doubled. 


In Conclusion:

    Perhaps we won't have another perfect storm like we had in 2011. But currently, WRN is about 2-4 years out on their Casino Project. Which is basically what the bet is on, that among the other economic situations lurking around the corner. 

    This is not financial advice. Just looking historically at this particular stock. On average, a good price to buy would be between 0.324 -0.453 and sell between $2.20-$2.70. Can we see an other $4.49 high or higher, it would depend on the Casino Project and the prices of commodities, but I think that's unlikely considering the facts stated above in the perfect storm. Please note: this company still hasn't produced any revenue. Overall, I am interested to see how the Casino Project turns out, and how their revenue stream manages.  


 


    





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