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Strategies & Market Trends : Dino's Bar & Grill

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To: Goose94 who wrote (34406)3/5/2018 5:38:04 PM
From: Goose94Read Replies (2) of 203407
 
Atlantic Gold (AGB-V) top pick from Jon Case on BNN.ca Market Call PDAC Monday March 5th @ 1300ET

Atlantic Gold is an emerging gold producer in Nova Scotia. The company began producing gold in late 2017 and is now in ramp-up mode, which will take them from 82,000 ounces per year in 2018 to 250,000 over the next four years. The key attributes that I like about Atlantic are:

Valuation: It’s cheap trading at 0.65 times our net asset value (NAV) of $2.42 per share and its 7-times cash flow drops to 5 times 2021 with growth.

Cost profile: Atlantic’s low casts costs of less than $600 per ounce is unique. High-margin assets are attractive because they reduce volatility in asset valuation.

Jurisdiction: We have seen political risks show up in stories like Torex and Tahoe. I expect that to result in higher valuation multiples for assets in Canada, the U.S. and Australia.
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