RE:RE:RE:RE:RE:RE:RE:added another 1000 at 51.86MandalorianFett wrote: Consvestor wrote: prouditalian wrote: I am a numbers guy. And the financials and numbers are telling me KL is ultra cheap.
The question one should be asking is WHY is it so cheap?
Likely reason is Sprott is selling and some Detour shareholders still exiting. Hopefully they are not holding back info that some are trading on.
We also need to see higher dividends in this name. It shoud be a priority. Any buyout of Wallbridge or Novo would be a disaster for the share price and I would sell immediately as wold many others.
Im long 7500 shares presently at about 53.00 CAD...been adding daily
It is however my only position that Im down on presently.
Interestingly, WM up 26% today, with most of the gain coming right at the end of the day. Hmmmm.....
Personally, I don’t believe a buyout of Wallbridge by KL needs to be a disaster for KL. Depends on price I guess, but if they could grab WM for under $2.50 I think that would be a smart move.
A numbers guy? I almost fell off my chair. Nickels is a line chaser.
I am going to chew on some statins now.
Fetts
I don't think you have anything to worry about if your average recent cost is C$53.
On a charting basis I looked at Kl's 200 day moving average shows up as $55.25
Its 50 day average is$52.20 but is rising.
I don't share your negative views on Detour and Wallbridge though. While I agree their isn't any hurry to buy Wallbridge until more proving up has been done, it looks to me like Wallbridge is onto something big. Time will tell of course.
Detour in my opinion was a great acquisition in a rising POG environment.At first it seemed crazy for KL which has so much high grade ore to buy a low grade producer.
Its true the AISC is high at Detour so there is a danger if the POG falls but at this point it would have to fall to around $1000 to make detour unprofitable. At these POG levels $1500-$2000 Detour will be churning out cash as long as they can stay operational and every dollar increase in POG adds straight to profits .
Fosterville and Macassa have their own issues but at this point I see nothing seriously wrong with either. Yes it would be nice if Fosterville suddenly announced a new Swan like zone discovery but they still have 2-3 years to mine very high grades and continue exploration before depleting the current high grades. If they don't find anything substantial then they will revert to just an ordinary profitable mine in what by then may be a much higher POG environment.
Macassa shows lots of promise in a historically rich gold mining district. They had some water issues last year but in the long run they should be a solid contributor.
KL should eventually get more respect and a share price upgrade for their consistent overperformance in respect to their mining peers. Its just a waiting game for rerating higher.
In my opinion there is no rush to move to so called greener pastures. It might be a big mistake to do so and then find it much more costly to try to come back after a sudden KL price rise.