MFG CN

Mayfair Gold Corp

Industrial/Transportation


Presented:03/18/2021
Price:CA$2.00
Cap:$0.12B
Current Price:CA$1.90
Cap:$0.16B

Presented

Date03/18/2021
PriceCA$2.00
Market Cap$0.12B
Ent ValueN/A
P/E RatioN/A
Book ValueCA$0.26
Div Yield0%
Shares O/S67.51M
Ave Daily VolN/A
Short IntN/A

Current

PriceCA$1.90
Market Cap$0.16B
Mayfair Gold Corp. operates as a mineral exploration company. It focuses on the exploration of the FennGib Property. The company was founded by Sean Pi and Henry Heeney on July 30, 2019 and is headquartered in Vancouver, Canada.

Publicly traded companies mentioned herein: Evolution Mining Ltd (EVN AU), Mayfair Gold Corp (MFG CN), Mountain Province Diamonds Inc (MPVD CN), Pan Global Resources Inc (PGZ CN)

Highlights

The presenter is long shares of Mayfair Gold Corp (MFG CN), a gold asset that began trading on March 22. At its IPO price of C$1.85, the company is valued at ~$47/oz on reserves, whereas peers trade materially higher. For example, Battle North Gold Corporation was recently acquired by Evolution Mining Ltd (EVN AU) for C$343MM ($274MM), which values the current gold reserve at $373/oz per ounce and $173/oz based on future resources; meanwhile, other peers are valued in the $90 – low-$100 per ounce range. On top of this, he sees upside to the company’s current 2.1MM gold-equivalent ounces. Based on these factors, he thinks MFG can trade up to C$5 per share with incremental upside in a takeout scenario. 

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Idea Discussion

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