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Highlights

  • AGI remained debt free at the end of the third quarter, with 14% hike in cash and cash equivalents to USD 215.9 million as compared to Q2 2023.
  • AGI clocked higher net income of USD 39.4 million, versus the net loss of USD 1.40 million in Q3 2022.

Alamos Gold Inc (TSX: AGI) is focused on acquiring, exploring, and producing gold and other precious metals. It has its operations functional at two principal geographic areas – Mexico and Canada.

In Q3 2023, Alamos Gold recorded gold production of 135,400 ounces, beating guidance of 120,000 to 130,000 ounces for the quarter. It can be attributed to the robust performances from the Island Gold and Mulatos District. The Mulatos District produced 53,900 ounces and 164,700 ounces in the third quarter and year-to-date. This production figure is approximately double as compared to the previous corresponding period.

At the end of the third quarter of 2023, AGI remained debt free with 14% hike in cash and cash equivalents to USD 215.9 million as compared to Q2 2023. The free cash flow stood at USD 37.3 million in Q3 2023, and at USD 109.4 million for year-to-date. The firm’s cash flow from operating activities was recorded at USD 112.5 million. Its earnings before taxes surged to USD 78.2 million in Q3 2023 from USD 33.9 million in Q3 2022. Also, AGI clocked higher net income of USD 39.4 million, versus the net loss of USD 1.40 million in Q3 2022. The overall growth can be attributed to the higher revenue and increased production volumes of Gold & Silver.

Alamos Gold paid a quarterly dividend of USD 0.025 per common share in November 2023. It has paid dividends for 14 consecutive years, returning USD 324 million to shareholders through dividends and share buybacks.

The firm has updated its guidance for the full year 2023. Its consolidated production is likely to range from 515,000 to 530,000 ounces of gold, representing a 5% surge from original 2023 guidance and a 13% increase from 2022.

Top 10 Shareholders:

Around 34.22% of the total shareholding in AIG is held by its top ten shareholders. While BlackRock Investment Management (UK) Ltd. holds a maximum stake of around ­­12.74%, Van Eck Associates Corporation owns over 5.62% in the firm.

Stock Price Performance

AGI’s stock price has lost 7.41% in the last one month. It has gained by approximately 4.72% over the last three months. The stock’s 52-week high and low price stand at CAD 20.195 and CAD 13.35, respectively.

Note 1: Past performance is not a reliable indicator of future performance.

Note 2: The reference date for all price data, currency, technical indicators, support, and resistance levels is January 10, 2024. The reference data in this report has been partly sourced from EODHD/Others.