For the second day in a row, Callinex Mines is plunging on the stock market. While it’s not unusual for penny stocks to suffer, Callinex Mines is one this week that even the most aggressive of investors will shudder when looking at it.
Penny Stocks in August: Callinex Mines (TSXV:CNX)
It’s only Tuesday, and yet, Callinex has already hit a new 52-week low. Meanwhile, there’s no catalyst driving Tuesday’s more than 15% drop. So is this an indication that the market is losing hope in the Vancouver, British Columbia-based company?
Perhaps, but remember: just because the company has been quiet recently and/or the stock is falling, doesn’t mean things—and good ones at that—aren’t happening. That said, this might not be the case for Callinex Mines.
The Callinex Mines Stock
Yesterday, this Canadian penny stock hit a new 52-week low, trading at $0.155. If that wasn’t bad enough, the mineral exploration company reached a brand new low today. So that means, in simple terms, Callinex Mines hit two different lows in less than 48 hours. Not the best start to the week, right?
According to Yahoo Finance, as of 3:12 p.m. EDT, Callinex Mines is trading at $0.135, which puts the stock down 15.62%. Earlier in the day, the stock was down around 18%.
But why is this happening? As I said, penny stocks are known to plunge, but it might be unnerving for some to see the CNX stock falling as much as it is. Not to mention consecutively like this.
The Company This Year
This Canada-based mining company hasn’t made many announcements recently, but the updates on projects that Callinex has provided weren’t negative. If anything, they were exciting and optimistic.
For instance, on August 9th, Callinex Mines provided investors with an update for its Nash Creek Zinc Project. In the update, Callinex said that there are now 13 drill holes completed.
The Penny Stock This Year
Things are unquestionably happening for Callinex Mines, the company; those in the mining industry can attest to that. However, the penny stock appears to have a mind of its own. At least, it has for the past few months.
Since the start of July, the Callinex Mines stock has hit a new 52-week low every week or so. It started on July 16th, when the stock was trading at $0.215. Then, on July 18th, the penny stock started trading at $0.18. Fast forward to now, and the Callinex Mines stock is at $0.135.
The Takeaway
Are you someone who watches the daily activity of mining penny stocks? If so, how do you feel about Callinex Mines this week? Do you think the stock will plunge more than 10% tomorrow as well?
Let us know what you think in the comments below, and check back tomorrow for more penny stock news!
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