Bullboard - Stock Discussion Forum TMAC Resources Inc. T.TMR

Metals & Mining Industrial Metals & Minerals

TMAC Resources Inc is an industrial metals and materials company. The business acquires, explores, and evaluates mineral properties. Its lone business segment is Mining; this segment is engaged in the exploration and development of precious metal resources, primarily gold. The company generates the vast majority of its revenue in Canada. TMAC Resources' primary mine is located in Hope Bay, in... see more

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TSX:TMR - Post Discussion

TMAC Resources Inc. > 28% float

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Post by NiN777 on Dec 09, 2019 10:40am

28% float

TMac has been on my radar a while ago, but I found it too expensive, now I'm flabbergasted how low the price has fallen?! What in the actual F___?

Newmont bought Miramar for $1.5 billions to buy it, then the actual value of the mine to get built

Market cap is sitting at less than 500 millions for a company that is making money.

Disclosure: long $3.38

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Comment by MatthewZy on Dec 09, 2019 11:45am

Hi Nick. I'm trying to decide if this is just cheap or going to get a lot cheaper. (I just bought a small amount and I'm doing more dd now) I'm in the same camp as you, TMR looked expensive a year ago and I wouldn't bother, but after some misses looks like the market has been overly harsh and I look at it now adn think "wow". I believe people are ...more

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Comment by Wineaux on Dec 09, 2019 3:00pm

Hi Matthew, please look back at earlier posts on this BB from November. BlackRock is selling off all or some of their position and that is where most of the selling pressure is coming from. Next operation updated from the company is scheduled for mid-January. Most recovery issues 'should' be resolved by now and they should be processing higher grade ore in 1Q20.

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Comment by snowshoedb on Dec 09, 2019 9:12pm

Wineaux: Money temporarily parked waiting to see if recovries are up at 88%-90% Let's hope they can turn it around.

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Comment by MatthewZy on Dec 10, 2019 9:52am

Thanks Wineaux & Snowshoe. I did see that about BlackRock (good luck to them selling out with the current daily volume). This is probably going to keep a lid on any moves up I'd guess... unless of course something changes like recoveries/grade/discoveries.

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Comment by NiN777 on Dec 10, 2019 12:17pm

That's just normal tax-selling + short volume November / December. I will likely surge back to 4$ around Feb.

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Comment by snowshoedb on Dec 09, 2019 11:49am

It should be correctly stated that the company is generating cash flow and free cash flow is determined based on how much CAPEX they are doing. The risk is that the company is not generating enough cash to meet its future debt obligations. They really need to solve the recovery issue. They are recovering 82% and should be getting 90%. I'm still skepticale as to if they can achieve 90%.

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Comment by MatthewZy on Dec 09, 2019 12:05pm

Thanks Snowshoe. Yes, that debt facility is significant. I guess it's the market that's got me thinking WTF - the stock touched 20$ in 2017 and was over 10$ in early 2018. Now it's just shy of a 52-week low. It looks cheap, but it's a question of if they can become free cash flow positive and pay down debt... right now the market is doubting it.

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TMAC Resources Inc.