One of our gold companies today is gaining cash from a mine sale; the other—post merger—is a previous recommendation that is now a hold.
Buy: Yamana Gold Inc. (AUY)
From Adrian Day’s Global Analyst
Yamana Gold Inc. (AUY) sold its mostly copper Chapada Mine in Brazil to Lundin Mining. Though Lundin got the better of the deal, the $1 billion cash will enable Yamana to pay down its debt. Given the stock’s decline from $2.70 a week ago, it is likely oversold now, and good for a trade (though there could be further weakness to $2.10 or so).
Adrian Day, Adrian Day’s Global Analyst, www.adriandayglobalanalyst.com, 410-224-8885, April 20, 2019