EVN - Evolution Mining

[rederob]

Hard to believe EVN has not broken through its 8 August peak given POG has increased substantially since then.
Just running on EVN production numbers and free cash flow, I see it sitting comfortably over $6 after its next quarterly report.

I got that wrong: EVN was sitting comfortably before yesterday's Quarterly Report:

With the USA and China continuing their tit-for-tat shenanigans there's every chance that POG will stay higher for longer. That being the case, today's sellers might rejoin next week's buying queue.

 

[Boggo]

It hit the typical target (blue) I had on it in this post in May...
https://www.aussiestockforums.com/posts/1071906/

I jumped ship when I saw action in the market depth that created doubt when combined with it being at a potential target area.

Current chart and my escape below.

(click to expand)

 

[Trav.]

I had a little gamble on EVN bouncing back and so far so good.

I had a buy signal on a daily scan after the rise on the 11/11 but I was fully loaded up in other positions then. I decided to offload a few yesterday as they had gapped up and I wanted to lock in profits, and then I purchased EVN @ 5.65.

Yes it was a bit risky but the market has been a bit strange this week so I thought that the goldies will come back in favor soon but I did not expect this today. Hopefully it can hold it's gains today.

 

[Trav.]

I'm taking a hit on this one as I am a little surprised that the gold price is stumbling and it appears all the goldies are having a bad day / week.

I will hold and ride it out, but obviously not the best situation

 

[sptrawler]

I'm taking a hit on this one as I am a little surprised that the gold price is stumbling and it appears all the goldies are having a bad day / week.

I will hold and ride it out, but obviously not the best situation

View attachment 115194

Hi Trav, the banks are having a strong comeback, maybe gold is loosing its shine as the market sees a light at the end of the tunnel?

 

[Trav.]

@sptrawler yes something else is shiny and away the hoards go. Banks, Crypto etc

Hopefully gold finds some support, but we will have to see.

 

[Trav.]

OK so I'm still in this trade after taking a couple of extra positions at $4.84 and $4.99 (original @ $5.65)

Gold price appears to be doing ok currently $1830, which has helped the recovery of EVN.

and a price sensitive announcement out today for JV partner which cannot hurt EVN at all.

 

[mullokintyre]

market not all that impressed with the releases from EVN today.
Firstly, third quarter production down marginally on last guidance, AISC in the mid range of guidance, and operating cash flow a not bad 212 mill.
Secondly, the down side is that although the go ahead for the Red Lake expansion has passed board approval with a 15% IRR, and a mine life extension of seven years, the high capex cost for the next two years will seriously eat into that operating cash flow. The returns won't start coming in for a few years.
The third announcement has the guidance for next year same as the original guidance for last year, with a 10% increase in 2023, then a further 20% increase in production in 2024.
All the good stuff in the future.
Might bow out of EVN and look to come back as we see how the expansion costs run out (they always increase).
Mick

 

[bsnews]

I did not feel that was all that bad, I suppose it will ride on POG up or down.
I will hold for the ATM and see if I can claw a bit more profit back.
Having said that I struggle to sell stocks and take profit of late been on EVN for some time now.

 

[Craton]

As a mostly passive, minnow investor with a longer term view, will continue to add more EVN on the (perceived) lows.

 

[Miner]

As a mostly passive, minnow investor with a longer term view, will continue to add more EVN on the (perceived) lows.

I did that few weeks back the same. Right or wrong this little depression is a good sign to get company ready to fast gear.
However with new Corona effect in nsw company could potentially be back pedalling on schedule which will bring more opportunities. IMO. I could be biased.

 

[Craton]

Yes Miner, guess that's the difference between traders and investors huh.
Bloody CV19, it just keeps on keeping on affecting all parts of the economy.

 

[mullokintyre]

Problem is, all my goldies (and I have a few) are down today.
Not sure why, POG went up last night in AUD, and still holding above 2450, which should have been a buy signal.
Switching from EVN to add to RRL, NST SLR and RMS.
Mick

 

[Beaches]

Having said that I struggle to sell stocks and take profit of late been on EVN for some time now.

I have no recommendation as to whether EVN should be bought, held or sold.
Companies will never love you back. They need to be cut loose without emotion when they have outlived your trading plan.
.

 

[Craton]

In a Trading Halt, proposed issue of new securities and equity raising. To fund Mungari acquisition by the looks of it.

 

[mullokintyre]

In a Trading Halt, proposed issue of new securities and equity raising. To fund Mungari acquisition by the looks of it.

Obviously some people already in the know, which explains recent few days down action.
Mick

 

[Miner]

Obviously some people already in the know, which explains recent few days down action.
Mick

Probably that lowering action was to get the offer price lower on last 5 days average and make the CR attractive.

 

[Craton]

Obviously some people already in the know, which explains recent few days down action.
Mick

Yep, and so typical huh.
SP raising at $3.85 looks to be the mark.
SPP in $$$ only, min 2.5 to 30K

 

[Beaches]

Disappointing in the short term for holders as the share price will no doubt move down to the offer price. Conversely, it could be a good entry point for those not holding.

If the gold price drops over the next few weeks, the share price could even go under the offer price.

EVN seems far more attractive to me after this transaction and I will likely take a position once the price moves down to the offer price.

 

[bsnews]

I already have a fair size position in EVN and no I did not sell. Now I need to decide upon taking up the offer or not.
Having read through it all it looks positive but I thought that from the start and look where it is at now.
Still what do you have to loose. It's only money and they print it evey day!