05:39:34 EDT Thu 23 May 2024
Enter Symbol
or Name

Argonaut Gold Inc
Symbol AR
Shares Issued 1,094,258,281
Close 2024-04-05 C$ 0.40
Market Cap C$ 437,703,312
Recent Sedar Documents

Globe says Egilo maintains Alamos Gold at "hold"

2024-04-05 07:19 ET - In the News

See In the News (C-AGI) Alamos Gold Inc

The Globe and Mail reports in its Friday, April 5, edition that Desjardins's Jonathan Egilo, seeing "clear and obvious" synergies from Alamos Gold's acquisition of Argonaut Gold, thinks there is "strong" net asset value per share accretion and touts "even more significant" gains on near-term free cash flow per share. The Globe's David Leeder writes that Mr. Egilo continues to rate Alamos Gold "hold." He boosted his share target for Alamos to $21.75 from $19.75. Analysts on average target Alamos shares at $22.39. Mr. Egilo says in a note: "We model our NAVPS for Alamos Gold lifting to $17.71 from $16.75 on the back of the acquisition. We value the combined Island and Magino operation at $4.32-billion, or $10.33/share. Our prior value for only Island was $3.26-billion ($8.18/share). Our FCF estimates for 2025 and 2026 grew from approximately nil in both years to $151-million (U.S.) and $230-million (U.S.), which drives FCF yields of 2.5 per cent and 3.8 per cent. The higher cash flow comes from a combination of Magino production and Island synergies -- particularly the elimination of the need to expand the plant to 2,400 tpd [tons per day] from 1,200tpd and lower per-ton operating costs for processing Island's ore."

© 2024 Canjex Publishing Ltd. All rights reserved.