CA - Torex Gold: A Free Cash Flow Machine Post-2024

2024-05-20 10:11:54 ET

Summary

• Torex Gold had a decent quarter in Q1 2024 and while costs were up, the company still enjoyed industry-leading AISC margins (~39%).
• Meanwhile, Torex continues to make solid progress at ML with construction over 70% complete & it is just six months away from 1st production with more than sufficient liquidity to completion.
• In this update, we'll dig into the Q1 results, recent developments and where the stock's updated low-risk buy zone lies:

We're nearly though the Q1 Earnings Season for the Gold Miners Index ( GDX ) and one of the more recent companies to report its results was Torex Gold ( TORXF )( TXG:CA ). Overall, the company had a solid start to the year with production tracking at ~26% of its guidance midpoint, with the company well on track to deliver on its guidance even adjusting for the softer Q4 due to a planned shutdown for tie-in of copper and iron flotation circuits. Meanwhile, the company continues to have one of the stronger balance sheets among its peer group despite being in the heart of spending on a significant development project (Media Luna), ending the quarter with ~$70 million in net cash....

For further details see: