RE:Nice numbers and reportgoldens wrote: Very nice numbers and their cash position is stable. Looks like they can continue the dividend for quite some time until things stabilize. World needs copper and demand will pick up eventually and will lead to prices rising. GLTA
Cash cost actually dropped 8 cents in this quarter, and Mgmt's expectation is that it will transition towards 1.95 next quarter, still lower than in the summer of screaming-high inflation.
Based on these numbers, Arg will be maintaining their dividend while we continue to coast at the current copper prices of ~ $3.47, and the dividend is secure even if copper drops a little lower.
If the recession causes Copper to drop to $2.80 or less, they'll have to re-evaluate, but we do have a significant cash cushion which would allow continuance, so long as the price drop into the mid-$2-dollar-range were brief.
(Any copper price lower than $2 would probably be accompanied by fairly disastrous global events anyways, and we may have more to worry about at that point than our ARG stocks...)
It's an overused expression, but at a 13% divi yield, this certainly feels like it's "flying under the radar".