- Freegold Ventures continues to be one of the top-performing gold stocks year-to-date, up over 1500% in 2020.
- However, the stock has recently undergone a sharp correction of more than 50%, which has prompted many investors to assume that the stock is now significantly undervalued.
- While this is true of many stocks that decline over 50% in short order, a look at comparisons to peers suggests that Freegold is nowhere near cheap at US$0.70.
- I continue to see the stock as an Avoid given its relative overvaluation for a low-grade explorer, and I would view any rallies above US$1.05 as an opportunity to book profits.
For further details see:
Freegold Ventures: A Low-Grade Explorer Trading At A High-Grade Valuation