Victoria Gold (VGCX-T)
TSE:VGCX
0.48
0.02
(4.35%) 1d
Financials
Technical Analysis
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Most Anticipated Earnings: MRE-T, PSI-T and more Canadian Companies Reporting Earnings this Week (Aug 05-09).This summary was created by AI, based on 2 opinions in the last 12 months.
Victoria Gold (VGCX-T) is currently in a precarious financial situation, with multiple risks highlighted by industry experts. The company is facing significant uncertainty, primarily due to a heap leach failure that poses both remedial cost challenges and potential environmental liabilities. Experts express concerns about the ongoing litigation issues and the lack of cash flow, particularly as mine operations have been suspended and more than $200 million in debt looms over the company. This financial strain raises the likelihood of breaching debt covenants, which could lead to lenders taking control of VGCX's operations. With such risks and the long-term viability of the mine in question, investing in Victoria Gold is viewed as highly risky at this juncture.
The issue is uncertainty. The heap leach failure raises multiple issues: First, there is the cost to remedy the issue. This is unknown, but could be huge. Next, there is the environmental damage and the likelihood of very large penalties. The mine could be permanently shut by regulators. Then, we have potential default. The mine operations have been suspended, so no cash flow is now coming in. With more than $200M in debt, VGCX's debt covenants will likely be breached soon, and lenders will be largely in control of the company's destiny. Overall, we would consider it a very precarious situation and would not advise buying.
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Victoria Gold (VGCX-T) Rating
Ranking : 3 out of 5
Bullish - Buy Signals / Votes : 0
Neutral - Hold Signals / Votes : 0
Bearish - Sell Signals / Votes : 2
Total Signals / Votes : 2
Victoria Gold (VGCX-T) Frequently Asked Questions
What is Victoria Gold stock symbol?
Victoria Gold is a Canadian stock, trading under the symbol VGCX-T on the Toronto Stock Exchange (VGCX-CT). It is usually referred to as TSX:VGCX or VGCX-T
Is Victoria Gold a buy or a sell?
In the last year, 2 stock analysts published opinions about VGCX-T. 0 analysts recommended to BUY the stock. 2 analysts recommended to SELL the stock. The latest stock analyst recommendation is . Read the latest stock experts' ratings for Victoria Gold .
Is Victoria Gold a good investment or a top pick?
Victoria Gold was never recommended as a Top Pick on Stockchase. Read the latest stock experts ratings for Victoria Gold .
Why is Victoria Gold stock dropping?
Earnings reports or recent company news can cause the stock price to drop. Read stock experts’ recommendations for help on deciding if you should buy, sell or hold the stock.
Is Victoria Gold worth watching?
In the last year, there was no coverage of Victoria Gold published on Stockchase.
What is Victoria Gold stock price?
On 2024-08-13, Victoria Gold (VGCX-T) stock closed at a price of $0.48.
Expecting bankruptcy. Not a good place to invest. Company quiet on litigation problems. Too many unknowns. No cash flow, and tough debt requirements.