Alex B. Gray
Deep value, micro-cap, nano-cap, special situations

Natural Resources Investor Sprott Resource Corp. Is Now A Big-Time Dividend Play

In a press release last month, Sprott Resource Corp. (OTCPK:SCPZF) announced that it would initiate a monthly dividend with the first payout of C$0.038 coming on January 15, 2013 to shareholders of record on December 31, 2012. This announcement obviously had the mouth of every income investor watering at the prospect of a yield in excess of 12% at the time of the announcement. However, it may have also attracted value investors who realized the existence of a large discount to book value and resource-minded investors who discovered the stock after the news. All of this immediate interest drove the stock price up nearly 24% as of the close on January 7, 2013, since the announcement on December...

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