Risk factor
Very high price volatility
Profitability factor
Greatly undervalued vs peers
About
Austral Gold Limited is a company specializing in the exploration and development of gold and silver deposits. The firm holds complete ownership of several key properties, including the Guanaco/Amancaya gold and silver mine located in Northern Chile, southeast of Antofagasta. Its wholly-owned assets also extend to the Pingüino project in Santa Cruz, Argentina, and the Casposo mine in San Juan, Argentina. Beyond these, Austral Gold possesses a 26.46% stake in the Rawhide mine in Nevada, United States, and an interest in the Mercur project situated in Utah, United States. Furthermore, the company oversees a portfolio of exploration initiatives within Chile's Paleocene Belt. Founded in 1996, the Sydney, Australia-headquartered entity was initially known as Diamond Rose NL, changing its name to Austral Gold Limited in November 2006. Austral Gold Limited operates as a subsidiary of IFISA.
Company Valuation
Based on key historical and expected multiples, the stock is greatly undervalued relative to its peers. In particular, the stock is underpriced on P/E, 'cheap' on EV/EBIT