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A couple of quality posts there @JSS-2107 Nice to have your...

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hcosah

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02/08/21

13:57

Post #: 54963254
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Originally posted by JSS-2107: ↑

Thanks @SoWeEverLike - and yes, good catch re. the "staggering net cash" for KLA. A good reminder re. DYOR.

I do have some data via jurisdiction (see below), but not sure how reliable the pluscode data is (investigating who is producing in Italy and Netherlands has been on my to-do list for a year without any progress ):

Re. LOM and resource / reserve data, I find this the hardest stuff to keep up to date with. It is not as patterned as production data (i.e. can come out at different times in the year for each company), some companies produce holistic statements, others will provide updates per asset, etc. I actually think this is exactly the kind of thing that the HotCopper community could help with. I am sure that we have a good coverage between us. Anyone interested in "signing up" to provide one or two company's resource / reserve data?

Anyway, I've included a couple of production v. EVA and margin v. EVA type charts below that I use regularly.

1. EV / koz Production

Sorted by Production volume

Sorted by Factor

See below for EV notes
koz production is the total koz production from Mar-21 and Jun-21 quarters
EV is A$m
The higher the charted value the more value the market has put into the organisation v. production profile - e.g. the market deems EVN to be more valuable per production (23.00) v. NST (14.36)
But of course, not all production is equal.
Note that I have excluded OBM and CMM (new producers in Mar-21 and Jun-21 respectively)

2. EV / Margin

Sorted by Production volume

Sorted by factor
Again, see comments below re. EV source.
Production * Margin (Sold price - AISC) for Mar-21 and Jun-21 quarters.
The higher the charted value the more value the market ascribes to the producer. e.g. the market is allocating more value to GOR (at 27.47) than to RRL (at 11.26).
Again, I've excluded OBM and CMM from both views (new producers)
I've also excluded AIS (can't find any data re. their gold sold price). Finally, I've also excluded RED and TRY from the second chart (RED's factor of -100.63 was making the other values harder to differentiate, TRY at -5.37 was less the case, but thought I'd exclude too just to keep tidy!).

General Notes
EV is calculated as Market Cap (ASX at close of play Friday 30th July) - Net Cash
Note that there is a fair amount of corporate activity happening currently - i.e. new shares could be in the process of being issued, etc.

Expand

A couple of quality posts there @JSS-2107 Nice to have your comments accompanying the charts. I have been tracking quarterlies over the past 5 years or so but am missing a couple of these companies so will update to get a more complete ASX producer set. I like to track ASIC and grade (weighted average for both) over time too because I think it gives up picture how producers are reacting to gold price changes (or if they are able to). I will post these in time on this thread.

Have you charted EV/resource ounces or EV/reserve ounces as well? I recognise your data is a quarterly snapshot but also good to consider a company's valuation in relation to it's asset size also.

There are some complications of course with these kind of comparisons, particular where a company has credits from a different commodity or the asset is declining rapidly, but when a company ranks consistently high (or low) across numerous ratios it generally tells a story.

I hope the feedback inspires you to keep the thread running over time because it's very useful analysis.
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