Bill Cara

Cara Community GSM 50: Yamana Gold

Yamana Gold (NYSE: AUY) (TSX: YRI) reviewed 10-07-2020

Market Cap: 5.29 Billion (USD)

Share Price: 5.55 (USD)

Shares outstanding:

Cash:     $324.8 M (USD) as of 30 Jun 2020.

Debt:     $1.09 B (USD) as of 30 Jun 2020. Company states net debt at $768M (USD)

Current operations: Yes

Insiders: Low

Institutional: 378 institutions hold approx. 56% of float

Website: yamana.com

Investor Presentations: https://www.yamana.com/English/investors/presentations/default.aspx

President & CEO: Daniel Racine

Executive Director: Peter Marrone

Yamana is a Major with production of 900K Au equivalent oz. in 2019

The company defines ‘Gold Equivalent Ounces’ or GEO as: ‘gold ounces plus the gold equivalent of silver ounces at a ratio of 105.14 for the period ended June 30 2020’. This ratio obviously changes over time

Yamana produced 10.6M oz silver in 2019

AISC stated at $980-1000 per Au equiv oz. But may actually be a little higher

The company has five producing mines in Canada, Brazil, Chile, and Argentina

Cerro Moro (Argentina) and Canadian Malartic (Canada) suspended earlier in 2020 due to COVID-19

The company reduced net debt by $100M in Q2 2020

Bottom Line:

  • Needs to fix the balance sheet or indicate in Q3 2020 report that this is being addressed
  • Good mining jurisdictions
  • Pays a 1.25% dividend. Update: As of 7 Oct 2020, the company raised its dividend to 2.0%
  • No position. No interest