Home » Posts tagged 'aca'
Tag Archives: aca
Brand CEO Alan Green talks Cadence Minerals (KDNC), Crawshaw Group (CRAW) & Acacia Mining (ACA) on Vox Markets podcast
20th April 2017 / Leave a comment
Brand CEO Alan Green discusses Cadence Minerals (KDNC), Crawshaw Group (CRAW) & Acacia Mining (ACA) with Justin Waite on the Vox Markets podcast. The interview is 38 minutes in.
Buy Acacia Mining (ACA) says VectorVest – Plenty of fundamental and technical positives for a growth stock portfolio.
19th April 2017 / Leave a comment
Acacia Mining (ACA.L) is a UK-based gold producer in Tanzania. Formerly African Barrick Gold Plc, the company’s operations range from exploration and development to mine construction and operation. It has reserves and resources of approximately 30m ounces of gold, with three producing mines, all located in northwest Tanzania. ACA also has a portfolio of exploration projects in Tanzania, Kenya and Burkina Faso. Bulyanhulu is an underground gold mine with shaft and ramp access. Buzwagi is a low-grade bulk deposit with a single large open pit. North Mara is a combined open pit and underground operation from two deposits, Gokona (underground) and Nyabirama (open pit).
On February 24 2017, ACA published FY results. CEO Brad Gordon said 2016 had been “another successful year for Acacia”. The company delivered record production, reduced all-in sustaining costs by 14% and more than doubled the net cash position. Group EBITDA more than doubled to US$415m, on revenues 21% higher at US$1.054m, on the back of which a full year dividend of 10.4 cents was proposed (final dividend of 8.4 cents) which is at the top end of ACA policy and more than twice the total dividend announced for 2015 (4.2 cents). ACA said it continued to invest into its exploration portfolio and is poised to announce a maiden resource on the West Kenya project. 2017. Driven by the mine life extension at Buzwagi, this is expected to result in further production growth and cost reductions, with production expected to be between 850,000-900,000 ounces at an AISC of between US$880-920 per ounce.
Toward the end of 2016, when trading around 350p, ACA appeared across a number of key VectorVest metrics, indicating it was a stock with upside potential. It is worth noting that this potential does not come without risk, indeed ACA only records 0.98 on the RS (Relative Safety) metric, which is fair on a scale of 0.00 to 2.00. However the GRT (Earnings Growth Rate) metric, (which reflects a company’s one to three year forecasted earnings growth rate in percentage per year), records ACA at 35.00%, which VectorVest considers to be excellent. Added to this, in plain Value terms, ACA has a current Value of 681.53p per share. Despite recovering to 490p, the stock is still undervalued.
The chart of ACA.L is shown above with the inverted “head and shoulders”pattern nearing completion. The share is on a Buy recomendation by VectorVest and once the “neckline” of the head and shoulders is exceeded the first technical target is above 700.
Summary: As with Centamin (CEY), another gold producer recently highlighted by VectorVest, the global geo-political climate offers plenty of reasons to own gold stocks at present. ACA also ticks all the boxes in this regard, and while not without risk, its GRT metric, progressive dividend policy and the bullish outlook expressed by CEO Brad Gordon provides plenty of fundamental and technical positives to warrant inclusion into a portfolio of growth stocks. Buy.
Dr David Paul
April 19 2017
Readers can examine trading opportunities on ACA and a host of other similar stocks for a single payment of £5.95. This gives access to the VectorVest Risk Free 5-week trial, where members enjoy unlimited access to VectorVest UK & U.S., plus VectorVest University for on-demand strategies and training. Link here to view.
FREE! For free VectorVest analysis on any stock, go to this link here
VectorVest Unisearch
On VectorVest a simple search using the Unisearch tool will quickly find shares that are undervalued with good fundamentals that have just issued a Buy recommendation. This will give the active trader a short list of many high probability trading opportunities each week. Traders now have the opportunity to spend five weeks discovering VectorVest’s unique simplicity, automation and independent guidance. Just £5.95 buys a 5 week trial to enable deep exploration, or how the system can assist in smarter trading in as little as 10 minutes a day. Powerful tools. Proven strategies. Unique Perspectives.
Link here for more info and to set up a trial.
European Financial Publishing Limited T/A VectorVest UK (VectorVest) is authorised and regulated by the Financial Conduct Authority under register number 543038. You should remember that the value of investments and the income derived therefrom may fall as well as rise and you may not get back the amount that you invest. Past performance is not a reliable guide to the future. This material is directed only at persons in the UK and is not an offer or invitation to buy or sell securities. If investors are in any doubt of the suitability of an investment given their individual circumstances, they are recommended to contact an investment manager or independent financial adviser who may be able to provide tailored advice. Opinions expressed whether in general or both on the performance of individual securities and in a wider economic context represent the views of VectorVest at the time of preparation. They are subject to change and should not be interpreted as investment advice. VectorVest and connected companies, clients, directors, employees and other associates, may have a position in any security, or related financial instrument, issued by a company or organisation mentioned on this site. European Financial Publishing Limited is a company incorporated in Scotland under Company Number SC357322 with its registered address at Exchange Tower, 19 Canning Street, Edinburgh EH3 8EH. Email: support@VectorVest.com
Recent Posts
- ECR Minerals #ECR – Collaboration with Geological Survey of Queensland on Lolworth Project
- ECR Minerals #ECR – Salary Sacrifice, Issue of Equity and Total Voting Rights
- Mendell Helium plc #MDH (Formerly Voyager Life plc #VOY) – Update on proposed acquisition of M3 Helium. Change of name to Mendell Helium
- ECR Minerals #ECR – Total Voting Rights
- VVV Resources #VVV – Interim Results for the six months ended 30 June 2024