You have to remember KL is no longer the low cost company it was
before it announced they were buying Detour Gold which is a fairly
high cost producer. So if the deal goes through KL will be another
mid tier company with a industry average all in cost.
Considering that the marketplace will not give KL as high a
multiple as it did before the buyout. Its still a good company and
will follow the gold price but don't expect it to get back to its
previous multiple or P/E/
You have to remember KL
KL seems to want to fill the gap from the ...
Posted by victorh on 11th of Dec 2019 at 07:20 pm
You have to remember KL is no longer the low cost company it was before it announced they were buying Detour Gold which is a fairly high cost producer. So if the deal goes through KL will be another mid tier company with a industry average all in cost. Considering that the marketplace will not give KL as high a multiple as it did before the buyout. Its still a good company and will follow the gold price but don't expect it to get back to its previous multiple or P/E/
Thanks for the info. https://seekingalpha.com/article/4312037-kirkland-lake-golds-acquisition-of-detour-gold-and-all-fallacious-analysis?utm_source=zacks&utm_medium=referral The
Posted by junkie on 12th of Dec 2019 at 04:48 am
Thanks for the info. https://seekingalpha.com/article/4312037-kirkland-lake-golds-acquisition-of-detour-gold-and-all-fallacious-analysis?utm_source=zacks&utm_medium=referral
The deal is not done, and short to intermediate term the stock is ok. There will be a lot of selling pressure as it enters the gap.
thanks for the info
Posted by matt on 11th of Dec 2019 at 07:49 pm
thanks for the info