US-listed gold developer Dakota Gold has been one of our top picks. The company finally published its Initial Assessment with Cash Flow which came better than we expected.
Hello - yes over the next 2-3y, as they derisk through permits and approach construction and assuming a return to more normal and higher gold equity valuations, through higher p/nav multiples consistent with history.
It is certainly possible to see $24 per share. Companies like that usually overshoot, and it is possible to see even higher prices.
Just wondering if they did the study based on current market price or how old is this research because it mentioned that the market cap is cUSD400m but base on the current data the market cap of Dakota Gold is 455m US dollars not Canadian dollars so that would put the cUSD market cap at cUSD623m.
So, based on the cUSD400m market cap mentioned in this research, the price per share during the study was 3.57 Canadian dollars (market cap divided by shares outstanding), which implies the US dollar price per share was $2.61.
So the return from the chart is about a 620%, which would give a target price of Dakota Gold stock at $18.79 USD and 25.70 Canadian dollars!
Hi, thanks for your message. Yes you are correct when you say the mcap is closer to USD450m. The text in the note refers to USD not CAD. Appreciate your kind words.
Thank you!
Appreciate your insights. Are you saying that Dakota can go to $24 plus, given your conditions? Thanks
Hello - yes over the next 2-3y, as they derisk through permits and approach construction and assuming a return to more normal and higher gold equity valuations, through higher p/nav multiples consistent with history.
It is certainly possible to see $24 per share. Companies like that usually overshoot, and it is possible to see even higher prices.
Just wondering if they did the study based on current market price or how old is this research because it mentioned that the market cap is cUSD400m but base on the current data the market cap of Dakota Gold is 455m US dollars not Canadian dollars so that would put the cUSD market cap at cUSD623m.
So, based on the cUSD400m market cap mentioned in this research, the price per share during the study was 3.57 Canadian dollars (market cap divided by shares outstanding), which implies the US dollar price per share was $2.61.
So the return from the chart is about a 620%, which would give a target price of Dakota Gold stock at $18.79 USD and 25.70 Canadian dollars!
Those are the targets you are looking for.
Thank you, and this is excellent work!
Hi, thanks for your message. Yes you are correct when you say the mcap is closer to USD450m. The text in the note refers to USD not CAD. Appreciate your kind words.