Mav, thanks for the reply. I see both sides of the argument and I understand it's hard to be bullish re GDO since it seems to have been overlooked by the market over the last couple of years.
But I think be can both agree that, with a modest increase in spot gold and market perceptions of GDO, these options would soar. Neither of these conditions is unlikely, IMO, but as you say, it's all about risk appetite.
Re dividends policy: IMO it would be a mistake for GDO to pay dividends anytime soon. Dividends are positive for low ROE businesses like Telstra, but a developing miner like GDO can get a much better return for shareholders by investing profits than paying them out. Funding development of V. (or another economic project) largely through internal cashflows would be a major success for management and shareholders, IMO.
Not that it matters, but I hold both GDO and GDOO.
GDO Price at posting:
34.5¢ Sentiment: Buy Disclosure: Held
