OGC 0.00% $2.20 oceanagold corporation

I struggle to reconcile the consistent buy rating from brokers...

  1. 121 Posts.
    lightbulb Created with Sketch. 39
    I struggle to reconcile the consistent buy rating from brokers with the fact that this remains the most unloved gold stock. My view (apart from the obvious Didipio matter which is the main issue with valuation and cost drain) is that the capital required to maintain/expand gold output in the NZ operations and Haille together with the cash drain associated with non productive Didipio work force is resulting in the market pricing this company is in threat of going under due to lack of cash. OGC’s recent forward sale of gold (for cash) further supports this scenario.
    For about 10 years management has been fantastic here, consistently made their guidance, met promises and delivered growth so why should we suddenly start to bag them? Wilkes’ departure is a shock, as he is acknowledged as a mining rock star, but he has built a good team.....so back to my first question.....analysts publicly love OGC except nobody’s buying - what don’t we know? Any credible ideas?
 
watchlist Created with Sketch. Add OGC (ASX) to my watchlist

Currently unlisted public company.

arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.