HCHDF - Hochschild Mining: High-Risk High-Reward
- Hochschild Mining released its preliminary Q1 results in late April, reporting a 9% drop in production from the year-ago period.
- Despite the year-over-year decline, the company remains on track to meet FY2021 guidance of ~366,000 gold-equivalent ounces.
- Unfortunately, the bigger issue for Hochschild is political risk, with Peru's presidential election leaning in favor of socialist candidate Pedro Castillo.
- Given Hochschild's Tier-2 jurisdiction profile, combined with added political risk, I continue to see the stock as an Avoid.
For further details see:
Hochschild Mining: High-Risk, High-Reward