Don’t Write Off Allied Nevada Gold Corp. (NYSEMKT:ANV) Yet


Dallas, Texas 12/03/2013 (Financialstrend) – The recent article published by Ben Kramer Miller has highlighted the Allied Nevada’s Debt Load. As per the article the Allied Nevada Gold Corp. (NYSEMKT:ANV) will have an unsustainable debt load through 2014 if we assume the current Gold price environment.

But according to our sources and analysis the Allied Nevada is highly leveraged and there is a very little room for making more errors. But if the present gold prices are to be considered the business seems to be sustainable and the company can very well meet its obligations.

Patience is the key to success with this stock

After analyzing all the facts, figures and the current situation it seems that if you stick to this stock for some more time then there are very good chances that you will make money. What you have to do is to monitor the stock movement on regular basis and your job will be done.

As per the Q3 results, Allied Nevada Gold Corp. (NYSEMKT:ANV) is facing downward trend in its profit figures. The adjusted cash costs per ounce of gold stands at $905 for the 3rd quarter and were on little higher side than what was anticipated.

Though its mining production costs has witnessed a decrease last few months. As per the company they are planning to go for little cost cutting by reducing the workforce to some extent and are also planning to increase the silver to gold ounce production ratio. All this will be done with the help of the Merrill-Crowe refinery which will help the company to adjust its cash-costs in the coming future.

The overall net income of the company witnessed a decrease by 64% to $0.5 million or $0.05 per share for the Q3 of 2013 as compared to $13.4 million or $0.15 per share for the same quarter of 2012.