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Whats MM’s view on 3 gold stocks please?

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Whats MM’s view on 3 gold stocks please?

James, Thanks for the regular updates. Could you give general advice on the following . . . NMT - Seems to be on a downward trajectory, even though projects seem to be progressing. Do you think this may be due to a possible future capital raise to fund recycling projects post? Would you continue to hold or exit at these levels sub $1? NST & WGX - I hold both, but there seems to be a significant disparity in the share price performance. I still like WGX with assets to liabilities ratio & potential upside to gold price & sentiment if the US$ weakens, but every time it seems to start an up move, it retraces. What's your read on WGX please? Both are somewhat frustrating positions! With thanks Bernie

Answer

Hi Bernie,

I have simply broken this question down into our view towards the 3 abovementioned stocks:

1 : Neometals Ltd (NMT) 88.5c – is currently testing its 12-month lows while many other sustainable battery materials producers have soared through 2022, we see no reason to fight this horrible trend.

2 : Northern Star (NST) $10.86 – we like NST but the risk/reward isn’t very exciting around $11, after bouncing 70% from its July low, we currently like NST but only closer to $10. Our preference is Evolution (EVN).

3 Westgold Resources (WGX) 75c – we don’t like stocks that cannot rally on good news which in this case has been a strong gold sector, at this stage WGX is simply too hard for MM and we see no reason to picking a bottom ~75c.

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Westgold Resources (WGX)
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