Q: Stock seems to have lots of momentum what would be your outlook going forward and could you give us the ratio of silver to gold,would be considered a silver or gold play.
5i Research Answer:
It produced over $100M in silver revenues and over $800M in gold revenues last year, and the ratio is about 90/10 gold to silver production, in terms of value. We would consider FVI to be a gold play. We like its momentum, it has been buying shares recently, sales growth has been strong, and margins have improved. Forward growth estiamtes are somewhat muted, but overall analyst estimate trends have been rising. It trades at a decent valuation of 9X forward earnings, and 1.4X book. While acknowledging it is dependent on the strength of spot gold, we would be OK with FVI here.