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Yamana Gold Inc.YRI.TOTOP PICKSep 19, 2017Stock price when the opinion was issued
As of Apr 03, 2023. Market Open.
They basically broke up the company to have the marginal Brazilian assets in Equinox. They sorted out their balance sheet.
Has been a disappointing performer and selling at a discount. There was a lot of worry amongst investors and some analysts about the balance sheet because of their building of the new mine Serra Morro, which is now 90% complete, and will increase their cash flow 20%, if not 30% when it is in full production. People are worried it might breach their debt covenants, resulting in an equity issue, but he heard they had hedged 60% of next year’s gold production, and 70% of copper production, at prices above what they had budgeted for. In addition, Serra Morro will see them increase their silver production by about 40%. Dividend yield of 0.8%. (Analysts’ price target is $3.50.)