TSE:KL

Kirkland Lake Gold (KL.TO)

49.71
+1.01 (2.07%)
as of Feb 9, 2022, 9:00:00 pm Market Open.
318 watching
0
BUY ON WEAKNESS

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. Q3 reports and the break in their technical levels did not help the stock. However, growth is expected and at these levels it is cheap. It also holds a lot of cash and management is skilled. Unlock Premium - Try 5i Free

BUY
One of the only sectors they do not trade because of the difficulty to model for them. In a world where central banks are stimulating like crazy, it is understandable to want gold. Currency devaluation is a real risk. It scores well under their metrics. A value stock. High return on equity, at 24%, 14x earnings and good balance sheet. Their resource life is shorter than others but they have made acquisitions.
BUY
She doesn't own any gold. This is a good, low cost producer. Global. Where it will be a year from now is predicated on price of gold. Trading at a more attractive valuation than some of the others. If you want exposure to gold, it's a good candidate.
TOP PICK

Billy Kawasaki’s Insights - Billy’s most-liked answers from 5i Research. They missed estimates slightly but cash flow is strong and reaching a record. The EPS rose to 49% following strong production and prices. Projects are advancing well and the dividend continues to move up. Unlock Premium - Try 5i Free

BUY
Fosterville South mine It's a great property, showing potential based on positive drill results to date. KL has good managers.
TOP PICK

With Agnico Eagle, KL anchors his producers' portfolio and strategy. He still likes this. Their exploration continues to add ounces on the ground. Production costs are low. They boast great managers and safe geopolitics. He has an $80 target. (Analysts’ price target is $83.95)

DON'T BUY

Likes gold. The environment is favourable for gold, where interest rates are staying low for at least a couple years. We have come off recent highs but we are up on the year. So long as real interest rates stay low, it is good. Barrick or Franco-Nevada, the big-cap names, would be his choice.

BUY
He likes it. His model price is $128 or 100% upside. The balance sheet is very small. It looks very, very good as a gold company. It has a totally different profile than most other gold companies. He would hold it here, but realize it might go down to $50. He would sell if it got to $85.
TOP PICK
$20B market cap that operates in N Ontario and California. A very big free cash flow yield. Earnings, sales are both up nicely. They are undertaking a new drilling program that could potentially offer high grade underground deposits. A potential 10-17% upside. (Analysts’ price target is $79.82)
HOLD
He still owns it. They have been buying back some shares. He values their leverage on the ground. They have high quality mines. He continues to use an asset allocation model and he has bought some more this year. Nothing has changed fundamentally and the company is in a better position even.
HOLD
Views the golds as a trade, not a 10-year hold. This one is doing well. Their margins are expanding. So still some upside movement, but we're running out of momentum. If you hold it, hang on.
TOP PICK
They are hands down the best gold company in the world. They have no debt and low cost of production, which is growing. They are a nice size position for him. (Analysts’ price target is $66.70)
PAST TOP PICK
(A Top Pick Jun 27/19, Up 2%) Their Australian mine was their gem. The detour mine acquisition – people on the street felt they overpaid. But now it looks like it is starting to accelerate again and gold has a tail wind behind it. It could do well going forward.
HOLD
They have excellent mines and grades. Gold should continue doing well for some time. It has good prospects.
BUY
There were forced lows from a massive liquidation from parity funds. The trend has been up, up, up and he still sees a lot of upside.
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