Randgold Resources Share Discussion Threads

[malcolmmm] 06/2/2017 11:40

Heres what the Motley Fool has to say.

Shares in gold mining giant Randgold Resources (LSE: RRS) topped the FTSE 100 leader board this morning, opening 2.6% higher at 7,035p, after reporting a year of record production and a 38% increase in profit.

The company said gold sales for the year ended 31 December of $1.55bn were up 11% from the previous year, principally as a result of an 8% increase in the average gold price received of $1,244/oz. Meanwhile, total cash cost reduced 6% to $639/oz. This confirms once again that Randgold is a highly productive and efficient operator.

Potential big return in short order

Gold is currently trading at around $1,224/oz, modestly lower than the average price received by Randgold last year and well down from last year’s high of $1,367/oz.

Big gold miners are a geared play on the price of gold and their shares tend to move by a multiple of the movement in the price of the metal. Rangold’s shares reached a high of 9,715p last year, giving 38% upside if they were to return to that peak from today’s opening price.

Last year’s high came in the wake of the Brexit referendum and I see plenty of potential for fear and uncertainty — including elections in France, Germany and the Netherlands to drive the price of gold and Randgold’s shares back up again this year.

Long-term investment

However, I’m bullish on Randgold not only for its short-term potential for capital gains, but also for its long-term prospects. As today’s results show, the company generates abundant cash. It beat its net cash target of $500m for 2016, with $516m in the bank and no debt at the year end.

The board has hiked the annual dividend by 52% to $1.00 a share from $0.66, giving a yield of 1.1%, which is infinitely more than you get from owning a bar of gold. Furthermore, the company has a 10-year plan to sustain its profitability even at a gold price of as low as $1,000/oz.

Looking at both the short-term and the long-term, I rate Randgold’s shares a ‘buy’.

Hi-ho silver!

I’m bullish on FTSE 250 silver miner Hochschild (LSE: HOC) for much the same reasons as I’m keen on Randgold. The company has already reported record production for 2016 and I’m expecting strong financials when it announces its full results in a month’s time. At a current share price of 247p, Hochschild’s dividend should give a running yield

[astute person] 06/2/2017 11:38

Well done CI.

What RNS?

[chinese investor] 06/2/2017 11:37

I Hope You Were Able To Take Advantage Of The Latest Rise....
....As I Did !

[gilesgraves] 06/2/2017 11:00

More importantly, why has no one on here analysed the RNS. Like on other boards. There is no analysis, no professionalism here.

[gilesgraves] 06/2/2017 10:52

poseidon. You detect wrong. And I don't believe you / am not interested

[chinese investor] 06/2/2017 10:47

For The Record I Sold Just Before Nine !
That Make Me The Winner !

[chinese investor] 06/2/2017 10:45

Don't forget he's down £200,000 on this £1 million investment !

Professor Pinocchio (SXX) 29 Nov '16 - 20:27
I hold 5m.

[michaelsadvfn] 06/2/2017 10:41

0.8p today !

Professor Smelgy (WTI) - 22 Dec'10 - 22:04 - 4571 of 6917
............I have been topping up quietly today, and have purchased an additional 500,000 at under 11p.
To add to the 2.5m purchased in tranches last week. I hold 3m.

Professor Smelgy (WTI) - 12 Jan'11 - 11:39 - 5352 of 6917
............by the way went in for a further 50,000 this morning.
Now holding just over 3.2m.


Some things never change.

Just saying again like.

[michaelsadvfn] 06/2/2017 10:38

Professor Pettigrew (PFD) 12 Dec'12 - 08:53

THE recovery stock of 2013 and £3.50 by next summer.

THE shares can be bought today for 38p.

Just saying like.

[poseidon adventure] 06/2/2017 09:39

giles - I, like lots of other posters, have followed Chinese Investor over the years and as a result I now own a mansion in Carshalton Beeches with recently added wings.
My two daughters also own their own homes.

I detect your investments aren't doing well so I urge you to do the same.

[chinese investor] 06/2/2017 09:23

Good useful post !

[chinese investor] 06/2/2017 08:53

Imminent !

Chinese Investor (RRS) 2 Feb '17 - 19:55
£72 Soon !

[sea and sky] 06/2/2017 08:24

Nice one RRS! Go 8000 lad!

[chinese investor] 06/2/2017 08:17

GO GO HORSEY !

Chinese Investor (RRS) 2 Feb '17 - 13:04
£70 Soon !

[malcolmmm] 06/2/2017 07:54

RTTNews.com) - Randgold Resources Ld (RRS.L) reported fourth-quarter profit before income tax of $127.79 million compared to $70.49 million, previous year. Profit attributable to owners of the parent increased to $78.52 million or $0.83 per share from $44.53 million or $0.47 per share, from last year.

Fourth-quarter total revenues were $356.39 million compared to $272.09 million, a year ago. Gold production was up 3% year on year. Gold sales rose to $453.05 million from $354.76 million, prior year.

Randgold's board has recommended an annual dividend for the period ended 31 December 2016 of $1.00 per share, up 52% on the previous year's $0.66. The dividend will be paid in cash with no script alternative being made available.


Read more:

[malcolmmm] 06/2/2017 07:51

Great results, hopefully a nice rise this morning

[gilesgraves] 06/2/2017 07:47

And the gold price is pumping!

[gilesgraves] 06/2/2017 07:42

Amazed at the lack of excitement here. The results re out and they look great! Where is everyone?

[redbaron10] 03/2/2017 13:41

Topped up at 6800p.Jobs nos. and Yellen and the Fed out the way for some weeks now.I think Trump and his early morning tweets are going to continue spooking the markets and the USD

[michaelsadvfn] 03/2/2017 10:06

He did warn Kay to only stand in the middle of the boat...oh dear

[liberace pickles] 02/2/2017 20:44

I'm afraid I've got bad news for Professor Birds Eye's followers :-

[chinese investor] 02/2/2017 19:55

£72 Soon !

[bonio10000] 02/2/2017 13:40

I think we might be capped out today, but, as stated, the Don wants a lower dollar.

A lower dollar = increased raw materials and inflation.

Rates globally will not and cannot go anywhere without crashing govts and economies.