Q: Any thoughts or concerns on these two "very different" companies, Alamos Gold is working its way higher to its 52 week high but Owl has been taken out to the wood shed (private credit market) but it does pay a very attractive dividend as a US investment held in a US RRSP.
5i Research Answer:
We commented on OTF today here.
We like AGI and like the sector. It is of course more expensive on valuation after its run up, now at 31x earnings. But it has a strong balance sheet, EPS is expected to nearly double, and its mines are in safe jurisdictions. We would be comfortable owning it today.