The Simple Reason I Won't Buy Northern Dynasty Minerals, Ltd. Stock
Dreams of finding gold and striking it rich are as common today as they were in the mid-1800s. Currently, gold-seekers are investing in stocks rather than seeking the yellow stuff itself, but the same fervor that inspired the Gold Rush exists today.
Few companies and their stocks illustrate the fever pitch more than Northern Dynasty Minerals (NYSEMKT: NAK), a mineral exploration and development company dedicated to the development of a well-known gold project in Alaska. Over the past three years, shares have skyrocketed more than 475% based on the speculation that the company will strike gold. What's the basis for the speculation? The company retains 100% ownership of the Pebble Project, which the company characterizes on its website as "indisputably one of the world's largest undeveloped copper/gold deposits with a potential mine life that is measured in decades."
Image source: Getty Images.
Source: Fool.com
