Wednesday’s TSX breakouts: As gold stocks surge, analysts see large gains for this mid-cap company

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On today’s TSX Breakouts report, there are 40 stocks on the positive breakouts list , of which over one-third are gold stocks, and 26 securities are on the negative breakouts list with a concentration of energy stocks.). The stock has 14 buy recommendations and a 42-per-cent expected one-year return.

Management reiterated its production outlook. For 2022, management anticipates consolidated gold production will be between 990,000 ounces and 1,050,000 ounces, the bulk of which will come from the Fekola Mine. Gold production from Fekola is anticipated to be between 570,000 ounces and 6000,000 ounces. Masbate is expected to produce between 215,000 ounces and 225,000 ounces of gold. Finally, at Otjiko, management is guiding to producing between 165,000 ounces and 175,000 ounces of gold.

Earnings expectations have moderated in recent months. Four months ago, the Street was forecasting earnings per share of 34 US cents for 2022 and 35 US cents for 2023. Cash flow per share was expected to come in at 70 US cents in 2022 and 76 US cents in 2023.The stock is commonly valued on a price-to-net asset value basis and on a price-to-cash flow basis.

 

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