Q: Hello,
I own KL. Gold is up 25% (1 year return) while KL is down almost 10% (1 year return). YTD, KL is down 2.5%. The quarterly results looked fine, they pay a dividend, been buying back shares but there has been relentless selling within the last 3 months from a stock price of over $76 down to now about $55 and change. In addition, its has breached its 200MA from a technical standpoint which does not bode well either.
Would you consider KL a buy at the current level and why do you think the stock has taken such a beating even though Gold seems to be holding up well.
Thanks,
I own KL. Gold is up 25% (1 year return) while KL is down almost 10% (1 year return). YTD, KL is down 2.5%. The quarterly results looked fine, they pay a dividend, been buying back shares but there has been relentless selling within the last 3 months from a stock price of over $76 down to now about $55 and change. In addition, its has breached its 200MA from a technical standpoint which does not bode well either.
Would you consider KL a buy at the current level and why do you think the stock has taken such a beating even though Gold seems to be holding up well.
Thanks,