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GoGold Resources Inc T.GGD

Alternate Symbol(s):  GLGDF

GoGold Resources Inc. is a Canada-based silver and gold producer. The Company is principally engaged in the exploration, development, and production of silver and gold in Mexico. It is focused on operating, developing, exploring and acquiring projects in Mexico. The Company operates the Parral Tailings mine (Parral) located in the state of Chihuahua, Mexico, and the Los Ricos district exploration property (Los Ricos), which includes two projects approximately 25 kilometers apart - Los Ricos South (LRS) and Los Ricos North (LRN), which are located in the state of Jalisco, Mexico. The Parral tailings Project is within the town limits of Hidalgo del Parral, in the State of Chihuahua, Mexico, which covers approximately 141 ha. The Los Ricos property is made up of 45 concessions and covers over 25,000 hectares, which is located roughly 100 km northwest of the city of Guadalajara and is easily accessible by paved road.


TSX:GGD - Post by User

Bullboard Posts
Post by InvestLargeCon Feb 13, 2018 12:53am
116 Views
Post# 27548779

The big picture: GGD's PBV versus SIL's & SVB's

The big picture: GGD's PBV versus SIL's & SVB's
Another poster mentioned Excellon and Maya, two silver producers in Mexico and Morocco whose Price-to-Book Value is above 6 times (!) although both have negative operating cash flow and positive net debt.
 
See also Silvercrest Metals and Silver Bull Resources, they are silver explorers, not producers, in Mexico with zero revenue. Both SIL and SVB burn cash too. But their Market cap-to-Book Value exceeds 6 times!
 
 
For reference, (debt-free & cash-rich) Gogold's Price-to-Book Value is under 0.5 times proforma the recent tremendous gain of US$54 million from the Santa Gertrudis sale. 
 
Hats off to GGD's management because they bought Santa Gertrudis for just US$11 million, generated tremendous value and sold it for a US$54 million gain in just 3 years although gold price has remained at the same levels. GGD's management got no help from the gold price.
 
So GGD's Stockholder equity was US$87 million last September but jumped well above US$120 million in December thanks to this gain of US$54 million from the Santa Gertrudis sale. This week Q1 FY 2018 will be out to verify it.
 
 
Bullboard Posts