think this is a re-rate over the next 12-18mo once the hedge book expiration nears (jun24, the last hedging rolls off)...
at today's gold price of c. A$2900-3000/oz the 25% of our production (30k qtr) is losings us >A$150m p.a.
bottom line for me is - once june-24 rolls round, this should be doing around A$200m fcf (assuming conservatively that they continue to spend A$250-300m p.a. on growth/exploration capital)... that's around 12% FCF yield on an EV c. A$1.6bn. If you up that to a lower capex figure say A$300m you're pushing close to 20% FCF yield.
Question will be around how they will fund McPhillys.. i suspect post Jun-24. Half of that FCF would be preserved for funding McPhillys, but still plenty of room for a 5%ish div yield and cap upside of 20+% in my view from today
Ann: March Quarter and FY23 Guidance Update, page-21
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Last
$2.49 |
Change
0.090(3.75%) |
Mkt cap ! $1.881B | |||
| Open | High | Low | Value | Volume |
| $2.47 | $2.51 | $2.45 | $11.01M | 4.429M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 9 | 171517 | $2.48 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $2.51 | 43782 | 5 |
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| Last trade - 16.10pm 15/11/2024 (20 minute delay) ? |
| RRL (ASX) Chart |