Can’t see a thread for Hochschild so here goes!
Any take-aways or thoughts @anon810895?
“Hochschild also reduced its debt to $34m, down from $77m in December 2018, and has refinanced its existing debt with a new loan of $200m.”
I always like to see a reduction and refinancing of debt.
Not a company actively on my radar.
Their mines are expensive to run. They’ll struggle if the price of gold dips.
Generally speaking, I always look for miners with long life sites, high grade deposits, the cheapest possible aisc and as @krr13 points out a reducing debt pile. Hochschild isn’t in the top ten.
(It’s this reason I’d ignore the gold ETFs too!)
If it was a gold miner you want in your portfolio, I’d encourage looking at Newcrest, Newmont or Barrick when they arrive.
I have an outside bet too, but will save that for another day
Edit: I read up on Agnico today too, worth a look - riskier.
Oh such a tease
I think that Polyus the biggest Russia miner should be a good option too since the cost is quite low and the debt is all fixed.
In valuation perspective, the stock looks cheap comparing with current pe and current dividend.
Thanks for the ideas. I love that the community has differing views and I cannot wait to research (using my expensive IC subscription as well as simple google stuff).
I need to know!