Gold stocks are due for a rebound after three miserable years of a bear market. I sold most of my gold stocks but have kept two producers. The sector is so beaten down, even profitable, well run companies are cheap. I hold EDV.to/EDVMF, Endeavour Mine, which has a market cap of C$265million and is on track to produce 500K oz of gold from multiple mines in Africa. Well managed, with a track record of building mines on time and on budget. They are building their next mine to take them to 700K/yr with cash on hand!
Teranga Gold, TGZ.to/TGCDF has a market cap of C$232million and produces around 200K/yr. Teranga is a lower cost producer and is more profitable than EDV with a current p/e ratio of 11. Well run and looking to increase reserves.
I’m down a little on both of these stocks but have positions because I think the money printing will end badly for the developed countries and these two companies are well run and cash flow positive to survive the metals bear market. When gold runs back up, these stocks should do well.
Thanks for the callout on Teranga. Rubicon may be a good mine but in James/Caseys “Seven Verticals” tease a little while ago it was not in the top four, in my opinion. Good callout by Travis that they are using a different “model” to predict reserves greater than published conventional reserves. The problem is that we have no way to know whether the innovative modeling is right or wrong, and even if the technique is valid, it might show even more advantageous reserves in other mines. So there is not an apples-to-apples comp even if the modeling technique is valid.
I have several speculations in junior miners…so I must think a new idea is better than the ones I already own. Long Pretium, Integra, Continental, Bear Creek, Almaden. Also Brazil Resources but this is more for the Canadian uranium potential.
I subscribed to IS for 6 months in the past before cancelling – just could not bring myself to buy their recommendations. I bought RMX on my own in the past though, buying in at $1.21 ans selling at $1.72. I bought back in at $1.23 later on and doubled the number of shares. I like the Red Lake district, and I like juniors that are funded and heading into production. I have a list of Juniors to buy at the next sell off, but RMX is the only one I’ve moved on – fingers crossed.
Gold/miners are still in a down trend. The coming rate hike in Q2-3 will amplify the downside and then the bottom is in. From end Q3 gold will rise again. That is my guess!
Crocodile Gold has been badly beaten down, and one might add, justifiably so given their performance over the past couple of years. that being said, they have used the market swoon to increase their efficiency and lower their costs to where they are now looking extremely undervalued. As a long time shareholder I am very pleased with the way Mgmt. has handled the sector downturn and how they have positioned themselves for the turn around that is on the horizon. I agree this is a producer to watch as the sector comes back into favour.
Gold stocks are due for a rebound after three miserable years of a bear market.
I sold most of my gold stocks but have kept two producers. The sector is so beaten down, even profitable, well run companies are cheap.
I hold EDV.to/EDVMF, Endeavour Mine, which has a market cap of C$265million and is on track to produce 500K oz of gold from multiple mines in Africa. Well managed, with a track record of building mines on time and on budget. They are building their next mine to take them to 700K/yr with cash on hand!
Teranga Gold, TGZ.to/TGCDF has a market cap of C$232million and produces around 200K/yr. Teranga is a lower cost producer and is more profitable than EDV with a current p/e ratio of 11. Well run and looking to increase reserves.
I’m down a little on both of these stocks but have positions because I think the money printing will end badly for the developed countries and these two companies are well run and cash flow positive to survive the metals bear market. When gold runs back up, these stocks should do well.
Thanks for the callout on Teranga.
Rubicon may be a good mine but in James/Caseys “Seven Verticals” tease a little while ago it was not in the top four, in my opinion. Good callout by Travis that they are using a different “model” to predict reserves greater than published conventional reserves. The problem is that we have no way to know whether the innovative modeling is right or wrong, and even if the technique is valid, it might show even more advantageous reserves in other mines. So there is not an apples-to-apples comp even if the modeling technique is valid.
I have several speculations in junior miners…so I must think a new idea is better than the ones I already own. Long Pretium, Integra, Continental, Bear Creek, Almaden. Also Brazil Resources but this is more for the Canadian uranium potential.
I subscribed to IS for 6 months in the past before cancelling – just could not bring myself to buy their recommendations. I bought RMX on my own in the past though, buying in at $1.21 ans selling at $1.72. I bought back in at $1.23 later on and doubled the number of shares. I like the Red Lake district, and I like juniors that are funded and heading into production. I have a list of Juniors to buy at the next sell off, but RMX is the only one I’ve moved on – fingers crossed.
Gold/miners are still in a down trend. The coming rate hike in Q2-3 will amplify the downside and then the bottom is in. From end Q3 gold will rise again. That is my guess!
For the GOLD BUGS you may wish to consider CROCF Crocodile God.
Crocodile Gold has been badly beaten down, and one might add, justifiably so given their performance over the past couple of years. that being said, they have used the market swoon to increase their efficiency and lower their costs to where they are now looking extremely undervalued. As a long time shareholder I am very pleased with the way Mgmt. has handled the sector downturn and how they have positioned themselves for the turn around that is on the horizon. I agree this is a producer to watch as the sector comes back into favour.