Don Durrett re:Argonaut Gold Argonaut Gold has been a successful mid-tier producer for more than a decade. They have a conservative management team that has done a good job of building and operating gold mines. That said, this is not an upper-echelon elite mid-tier company, which they are trying to become. They currently produce about 200,000 oz. annually and are not being rewarded by the market. Thus, they are undervalued.
They have three producing mines in Mexico and have three more to build. They have large resources, with 9 million oz. Plus, they have low debt and all-in costs around $1,200 per oz. I'm not sure why the market doesn't like them. They are having trouble permitting one of their projects, but they have three to build.
If I value them as a future 300,000 oz. producer, their annual free cash flow potential is almost their current market cap. That makes them very cheap on a long-term basis at higher gold prices. Their red flag is that a larger company could acquire them for a small premium. Undervalued companies tend to attract attention. I would not be surprised if they get taken out in 2020.