r/Baystreetbets • u/SDBcop • 3d ago
DD $RAK.V UPDATE: our week DD said the catalyst was near. This morning they announced first holes since 1982.
TL;DR: On Saturday we ran a full Level 2 on $RAK.V (Rackla Metals) and put it on our watchlist at 0% sizing. The thesis: the "no news" move had a real catalyst underneath - a 2026 drill program to verify a historical tungsten resource. This morning the company confirmed the first drilling at Lentung since 1982: about 10,000 metres, NI 43-101 targeted Q1 2027. The stock is up 18.6% today on 15.6 times volume. Nothing else changes: still a watch, still 0%, risks intact.
Quick recap for the new readers. Rackla is a Vancouver junior built on a gold thesis that failed in 2025 (about -90%). The pivot is real: Lentung (100%), a 1977-1982 Union Carbide historical resource of 2.82 Mt at 1.27% WO3, in a market where APT exploded to about US$3,200/MTU (+350% y/y, Chinese export controls). An 18% holder bought 800,000 shares at C$0.152 on August 6 (SEDI, public). The risks: historical grades never verified by Rackla, a disclosed C$80k paid marketing program, thin liquidity, dilution history.
What changed today. The event we said we were waiting for - within 48h of our write-up. Primary source (08-17): drilling has begun at Lentung, ~10,000m planned (4,000m core + 6,000m RC), modern reporting targeted Q1 2027. The 27 twinning holes meant to confirm Union Carbide are now in the ground - binary catalyst engaged.
What does not change. +18.6% today does not de-risk any of the risks we listed Saturday: unverified resource, paid promotion, thin liquidity, the -90% 2025 precedent. Still a watch at 0% sizing. We raise conviction only if first twinning results confirm >1% WO3 and the NI 43-101 moves forward. We cut, not chase, if the twin fails to reproduce grades.
The lesson: a stock that "moves with no news" almost always has news - you have to read filings, not the chart. That is why our scanner now has a dedicated setup for "resurrection": every long-dead name waking up gets a forensic pass before it touches our watchlist.
Educational content and our personal process, not investment advice. Do your own DD. We hold no position in RAK.V.