Jon CaseOceanagold CorpOGC.TOUnspecifiedMay 14, 2013

It is generating lots of free cash flow. It has a collection of Tier 2 assets but no Tier 1. It has done a spectacular job of implementation on a global basis. The acquisition of Ausgold was great for both companies and very accretive for OCG..

It was really cheap at the time, and in the gold space. He'd dip back in on the setback -- don't have to rush, let gold settle a bit.

He'd let your initial position continue to run. Trim a bit, and allocate those proceeds to other areas of the market. 

It is an intermediate producer of gold and copper with four mines. Had a very big stock price jump recently with an earnings surprise of 18% and earnings revision of 19%. Free cash flow is a catalyst and he considers it an obvious buy. Earnings growth is very good along with a P/E of 8.3 this year and 5.7 for 2026. It is a small cap and did a 3 for 1 consolidation in June.        Buy 9  Hold 1  Sell 0

Doesn't own, but it's the kind of gold company that likely does well in next 2 years. He suspects that over the next 1-2 years, mid-cap names such as this will either do well or will be taken over. Scale matters in equity markets today; mere inclusion in indexes is good for the share price.

Chart's seeing a pause, because it ran up so fast. And that's OK. Markets pull back in 2 ways: either by going down, or by consolidating. There's a really good case for owning gold. This one could consolidate for another 1-2 months or so, and then break out. If he owned it, he'd hold.

Likes gold companies operating in stable countries. Australia, Canada, Philippines. Really, really strong balance sheet. Trading at book value. Attractive as a potential takeover by a senior producer due to its low valuation and great balance sheet. Yield is 0.7%.

Mostly Asian, Pacific-based, but now moving into North America in the Carolinas. Doing a lot more deals in Nevada and Argentina.