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GOLD - Randgold Resources Ltd


frommi

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I am interested in having a small allocation in the gold sector as inflation protection and found this miner as one of the lowest cost miner i could find.

They operate mines in Mali/Africa. According to this seeking alpha article http://seekingalpha.com/article/2029941-randgold-the-gold-miner-to-watch-in-2014 the Kibali mine operates at 464$ cashcost, which is extremly low.

They have a 10 year history of positive earnings and plan to grow their production by 20% this year. They currently trade at a P/E of 13 and are debt free.

 

Normally i try to avoid miners, but this one looks different. I already build my position, but i appreciate any comments or further insights.

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Stupid little mistake. Gurufocus has a PE of 13.5 on the front page, but when you calculate it with the EPS number you come up with 25.5. I don`t know why gurufocus can`t divide two numbers correctly, but this was my fault. Always double check the numbers. But the rest is still true, so i will simply ride the momentum here, but only for a quick profit.  :P

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