Globe says Ventum maintains i-80 Gold at "buy" Globe says Ventum maintains i-80 Gold at "buy"
i-80 Gold Corp (C:IAU)
Shares Issued 370,355,185
Last Close 8/29/2024 $1.43
Friday August 30 2024 - In the News
The Globe and Mail reports in its Friday edition that Ventum Capital's Alex Terentiew and Phil Ker think free cash flow is "increasingly awarded a premium" in the sector, emphasizing "generators are being rewarded."
Globe's David Leeder writes that Mr. Terentiew and Mr. Ker say in a note: "Over the past year, we've seen several companies with improving free cash flow rewarded with a significant improvement in their share price. WDO and JAG are two notable examples, with each company realizing increasing quarter-over-quarter FCF that has turned around their balance sheets and treasury positions.
The junior miners, developers and exploration companies, however, have generally not seen the same level of investor response to higher gold prices, strengthening our view that investors are increasingly focusing on FCF. Due to recent inflationary pressures, operators were forced to identify operating efficiencies to reduce costs and maintain operating margins. These cost cuts have now resulted in many operations realizing record profit margins and robust cash flow."
The Ventum analysts continue to rate i-80 Gold "buy." They cut their share target to $2.65 from $3.35. Analysts on average target the shares at $3.91.