AUS
NZ
UK
CA
USA
IND
Highlights
- Gold stocks are favoured by investors seeking stability amid economic uncertainty and inflation concerns.
- TBR reported a substantial revenue increase of 21.58% YoY and a notable 137.90% YoY rise in after-tax profit in 1HFY24.
- RNU achieved revenue of AUD 2.44 million and after-tax profit of AUD 0.96 million in 1HFY24, marking a significant financial turnaround.
Gold stocks hold a perennial allure among investors aiming to capitalise on the enduring value of the precious metal. They represent a gateway to potential profits in times of economic volatility and inflationary pressures, historically shielding portfolios from uncertainty. The performance of these stocks hinges on the ever-changing dynamics of gold prices, international relations, macroeconomic indicators, and currency movements. This article discusses two gold stocks listed on the ASX.
Tribune Resources Limited (ASX: TBR)
Tribune is actively involved in the exploration, development, and production of gold within its East Kundana Joint Venture (EKJV) tenements in Australia. The company has a market capitalisation of AUD 175.76 million.
During the first half of FY24, TBR experienced a 21.58% year-over-year increase in revenue, coupled with a remarkable 137.90% year-over-year rise in profit after tax. This growth was primarily driven by the higher spot gold prices observed throughout the period.
Historical financial trend
Recent business update - According to the company's March quarter report, Rand and Tribune jointly processed 53,316 tonnes of ore at an average grade of 4.03 g/t at the EKJV operations. The processing took place at Evolution Mining Limited's Mungari processing plant, with Tribune's share amounting to 39,987 tonnes.
Outlook – The company's objective is to enhance its mineral resource estimates by reclassifying inferred resources to indicated at EKJV. Additionally, it has filed an Environmental Impact Assessment (EIA) for the Japa gold mining project to seek approval for upcoming operations.
Stock performance – The stock price of TBR has declined by around 13.10% in the past month whereas, it has gained around 10.17% in the past six months.
TBR Daily Technical Chart (Data source: EODHD/Others as of 03 July 2024)
Renascor Resources Limited (ASX: RNU)
RNU is an Australia-based mineral explorer with a pipeline of targets for the development of graphite, copper, gold, rare earth, cobalt, and other mineral assets. The company has a market cap of AUD 223.64mn.
During the first half of FY24, RNU experienced a significant revenue increase and returned to profitability, generating AUD 2.44 million in revenue and AUD 0.96 million in after-tax profit.
Historical financial trend
Recent business update- RNU recently announced initiating a competitive Early Contractor Involvement (ECI) process with GR Engineering Services Limited and Primero Group Limited for its proposed Siviour Mine and Concentrator. This phase aims to advance engineering and refine design for the minerals processing plant and associated infrastructure (Project Works). It will also incorporate process enhancements identified after the completion of the Battery Anode Material Study in August 2023.
Outlook – RNU aims to capitalise on growth opportunities in the expanding lithium-ion battery anode sector through its BAM project. Concurrently, the company is actively pursuing exploration efforts targeting gold, copper, uranium, and other minerals.
Stock performance – The stock price of RNU has declined by around 20% and ~32.31% in the past month and past six months, respectively.
RNU Daily Technical Chart (Data source: EODHD/Others as of 03 July 2024)
Note 1: Past performance is neither an Indicator nor a guarantee of future performance.
Note 2: The reference date for all price data, and currency, is 3 July 2024. The reference data in this report has been partly sourced from EODHD/Others.
Disclaimer
This article has been prepared by Kalkine Media, echoed on the website kalkinemedia.com/au and associated pages, based on the information obtained and collated from the subscription reports prepared by Kalkine Pty. Ltd. [ABN 34 154 808 312; AFSL no. 425376] on Kalkine.com.au (and associated pages). The principal purpose of the content is to provide factual information only for educational purposes. None of the content in this article, including any news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations, and video is or is intended to be, advisory in nature. The content does not contain or imply any recommendation or opinion intended to influence your financial decisions, including but not limited to, in respect of any particular security, transaction, or investment strategy, and must not be relied upon by you as such. The content is provided without any express or implied warranties of any kind. Kalkine Media, and its related bodies corporate, agents, and employees (Kalkine Group) cannot and do not warrant the accuracy, completeness, timeliness, merchantability, or fitness for a particular purpose of the content or the website, and to the extent permitted by law, Kalkine Group hereby disclaims any and all such express or implied warranties. Kalkine Group shall NOT be held liable for any investment or trading losses you may incur by using the information shared on our website.
