K:CC - Kinross Gold: Too Cheap To Ignore

• Kinross Gold released its Q1 results this week, reporting quarterly production of ~505,700 gold-equivalent ounces (~410,000 ounces from continuing operations).
• This translated to a 6% decline over the year-ago period, and costs rose to $1,245/oz, leading to a decline in AISC margins year-over-year ($630/oz vs. $812/oz).
• However, while the headline figures were weaker year-over-year, this looks more than priced into the stock, as does the hit to net asset value from the recent asset sales (pending).
• Given Kinross' relatively attractive dividend yield (~2.60%), deep discount to net asset value, and the fact that the stock is now becoming oversold, I see this pullback as a buying opportunity.

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