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ASA Gold and Precious Metals Ltd C.ASA


Primary Symbol: ASA

ASA Gold and Precious Metals Limited is a non-diversified, closed-end investment company. The Company's investment objective is long-term capital appreciation primarily through investing in companies engaged in the exploration for, development of projects or mining of precious metals and minerals. The Company invests approximately 80% of its total assets in common shares or securities convertible into common shares of companies engaged, directly or indirectly, in the exploration, mining or processing of gold, silver, platinum, diamonds or other precious minerals; held as bullion or other direct forms of gold, silver, platinum or other precious minerals; in instruments representing interests in gold, silver, platinum or other precious minerals, and/or in securities of investment companies, including exchange traded funds, or other securities. The Company’s investment adviser is Merk Investments LLC.


NYSE:ASA - Post by User

Comment by TheBananaManon Jan 25, 2019 2:38pm
152 Views
Post# 29282532

RE:RE:Buy before or after financials ?

RE:RE:Buy before or after financials ?When they are in full swing, this company will generate revenue from 150 000KG a year extraction (maybe more if they expand) and from 400 000sq.ft. of growing space.

For the growing space this should give them (on the low side) around 25 000 to 30 000KG a year.

The CEO of HEXO said in an interview on BNN 1 year ago about that on the conservative side he is expecting to touch about 1.50$/gram after all costs. 

That would represent a revenue of 37.5-45 millions a year.

I would assume they touch around 0.15-0.25 cents a gram for the extraction (on the conservative side once again). That would give them a revenue between 22.5-37.5 million a year at full capacity.

So on the conservative estimates I give this company between 60-82.5 millions a year of revenue once at full capacity. I leave the fact that they will be selling their own products (maybe dried bud and probably oils etc...) witch should give them bigger margins. 

That means that even today with a market cap around 215-230 millions they are a good buy !
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