GREY:CLGRF - Post by User
Comment by
Bottleson Feb 14, 2012 11:18am
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Post# 19531219
RE: Motley Fool Article: CGR/CRJ
RE: Motley Fool Article: CGR/CRJ comments:
"Is this the year of the junior miner?
Could this be the year that junior miners really take off? The valuations are compelling enough to merit it. On more than a few occasions, I've come to the support of Golden Star Resources (AMEX: GSS) , a personal holding of mine, which is trading very close to book value but has had a hard time controlling its costs and production levels. Claude Resources(AMEX: CGR) could be the latest member we can add to the list of inexpensive, but growing, junior miners.
Just last week, Claude projected that it would produce 50,500 ounces of gold in 2012, which would represent a 13% increase over its 2011 output. A lot of investors took this figure with a grain of salt because Claude has missed Wall Street's EPS estimates in four straight quarters, but I think the groundwork has been laid for a real surprise in 2012. Claude spent a lot of money on upgrading equipment and expanding its milling operations last year and it could easily surpass Wall Street's expectations this year. At just six times forward earnings, it looks like a genuine bargain."