ROXGOLD (ROXG)

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Hi,

Would like insight on this smaller gold producer from a valuation and potential perspective. Recently had a great quarter/full year (announced March 3) across many metrics and seems to be a decent option from a small cap (<$2) perspective.

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Asked on March 21, 2021 8:03 am
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It's definitely an interesting company, one that is expected to have a very strong 2022 and 2023.

In fact, if the company can hit 2023 expected revenue and earnings, it would be growth of 85% in terms of revenue and 232.5% in earnings.

To close the year it topped both production and cost guidance, which is good. I like the company's low cost profile, 3 year median return on equity of nearly 10% too.

There isn't TOO much history to go off of, but from what they've done over the last 5 years, looks promising.

Keep in mind though, this company is much more expensive than its peers. While a company like Bull List stock Kirkland Lake is very much a value play at its prices, Roxgold is priced like a growth stock. If the company slips up, or outperforms, will be big price movements in either direction.

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Posted by Dan Kent
Answered on March 22, 2021 8:36 am