DCN's enterprise value would be between $200M to $250M -$140M market cap + $106M debt - $45M cash and bullion + the unknown figure of payables $40M?? . They should be able to generate $50M (would be more without the hedging at lower prices) for 2020 (before the $33M debt reduction).
Not a bad return on investment. That is if you are confident management can meet this updated guidance.
If one is concerned about the gold price it can be shorted as a hedge.
DCN Price at posting:
61.0¢ Sentiment: None Disclosure: Not Held
