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Strategies & Market Trends : Rande Is . . . HOME -- Ignore unavailable to you. Want to Upgrade?


To: BANCHEE who wrote (10167)7/29/1999 12:24:00 PM
From: Rande Is  Read Replies (2) | Respond to of 57584
 
GOLD stocks: Banchee. . .the bigger are not necessarily better. . .

NEM has 147m float. . .no PE and -21 percent profit margin
HM has 195m float. . . no PE and -28 percent profit margin

Sales are OK for these companies but I don't like the negative profit margins.

By contrast:
AU [35m float]. . ..PE=14 and +12 percent profit margin
ABX [300m float]. . .PE=22, +22 percent profit margin and a 1.7 yield
PDG [247m float] . . .PE=23, +9 percent profit margin and 2 percent yield
ASL [9.8m float]. . .PE 11, +10 percent profit margin

This is why I like AU, ABX, PDG and ASL over NEM and HM.

On the junior golds. . . caution is advised. . . some junior golds are out of business. . .so always do your DD.

Your DROOY doesn't seem to be showing current financial data. . .better check it out first. GSR shows just 540k sales and a profit margin of -4264 percent. . .OUCH. And RGLD shows sales of 903k.
My GOLD has old financials too, so it is VERY risky.

I do like your junior MDG and AEM.

MDG has a tiny 6 mil float [yipee] and -58 profit margin
AEM has 54m float, but a nice 38 million in sales and a -17 profit margin.

By comparison, GRERF has 63 mil float and sales of 35 million and a -365 profit margin.

Of the rest of the many many tiny issues, I don't like much of what I see.

Rande Is