Stock Idea…Guyana Goldfields Inc

Stock Idea…Guyana Goldfields Inc

Symbol : GUY

Exchange: TSX

Market Cap : 811.5 Million

Revenue : 187 Million
Three Year Revenue Growth :
Investment Type : Small Cap Value/Growth

Price/Earnings : 34.2

Forward P/E : 11.0

Price/Book : 1.8

Price/Sales : 3.5

Price/Cash Flow : 11.6

Price : 4.69
Investment Stem :

Guyana Goldfields Inc. (Guyana Goldfields) is a Canada-based mineral development and exploration company primarily focused on the acquisition, exploration and development of gold deposits in Guyana,

Guyana Goldfields Inc. (Guyana Goldfields) is a Canada-based mineral development and exploration company primarily focused on the acquisition, exploration and development of gold deposits in Guyana, South America. The Company's Aurora Gold Mine is an operating gold mine project, which is located in Guyana. The Company owns approximately 100% interest in the Aurora Project, which has total proven and probable reserves of approximately 3.04 million ounces of gold. The Company also holds an interest in a land package located in the Aranka district of Guyana approximately 30 kilometers northeast of the Aurora Gold Mine, known as the Aranka Properties, which consist of a number of separate properties, including Sulphur Rose. Within an area located northeast from the Aurora Gold Mine, the Company also holds an interest in certain additional properties known as the Other Properties. The Company's subsidiaries include Aranka Gold Inc. and AGM Inc.

The dreaded metrics from Morningstar…

http://quote.morningstar.ca/Quicktakes/stock/keyratios.aspx?t=GUY&region=CAN&culture=en-CA&ops=clear

The company’s website…

https://www.guygold.com/Home/default.aspx

An article from seeking alpha (just for a little perspective)

https://seekingalpha.com/article/4043945-guyana-goldfields-slated-50-percent-production-growth-2018

Another junior gold producer (I’m growing quite fond of this sector). The Baupost Group (yes that’s the house where Seth Klarmin lives) is a beneficial owner. The company itself owns lots of their own stock, strong Balance sheet with $65.4 million (US) cash versus debt of $68.8 million (US) as June 30^th 2017.

The company is a high grade gold producer with 15 plus years reserve with good cash flow generation and no by-products (100% gold exposure). Operating numbers over the last couple of years have shown dramatic improvement...While the market is going gaga over the US big cap tech stocks I'm finding value in the junior gold mining sector in Canada. As always this is just an investment idea, remember to do your own due diligence before putting your money at risk in the market. Investing in the stock of listed companies can be fun but it can hurt too.