Consider this. According to the latest presentation NST will...

Consider this. According to the latest presentation NST will produce 1.5-1.7 mill oz this year at AISC of $1390-$1520 per oz.
worst case scenario NST will make $1bn in cf on 20/21, which means NST are trading at 10.6x cf worst case and 7.5x cf on best case.
21/22, NST will produce 2 mill oz at approximately $1250 AUD per oz (allowing for cost savings etc from the SAR merger).
Therefore, at current gold prices, NST are trading at 5.2 x 21/22 cf. if gold prices trade back at $2800 AUD, they are trading at 3.2 x 21/22 cf.
At the norm of 10x cf, that values NST at $28 a share. All of that leverage and still getting paid 2% divvy for waiting...why then would you buy bonds at 1.6%.
I notice some on this thread are suggesting NST share price to go to $6 a share. For that to happen, and assuming a norm of 10x cf, the AUD gold price would have to drop to $1530 AUD oz for over a year.
Yes there are risks to owning NST in the current environment, BUT, the reward is also there, IF the gold price recovers, which given the current environment for loose money printing and inflation, seems like a shoe in.
Just for giggles, who would rather own tech or goldies at this point in the cycle?
TIA