Nevsun Tops Companies in the Gold Industry With the Highest Operating Margin
By Robert Cotter,
BELOW are the three companies in the Gold industry with the highest operating margin. A healthy operating margin is required for a company to pay for its fixed costs and generate cash.
Nevsun Resources (AMEX:NSU) is highest with an operating margin of 53.5%.
Nevsun Resources Ltd. is a gold producer and base metal developer. The Company has a gold-copper-zinc mine in Eritrea.
Nevsun Resources (AMEX:NSU) has potential upside of 22.6% based on a current price of $4.11 and analysts’ consensus price target of $5.04.
The stock should discover initial support at its 50-day moving average (MA) of $3.83 and subsequent support at its 200-day MA of $3.60.
Following is Royal Gold (NASDAQ:RGLD) with an operating margin of 44.8%.
Finishing up the top three is Franco-Nevada (NYSE:FNV), with an operating margin of 44.2%.
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AUDIO: Nevsun Resources Q2 2014 Earning Results Conference Call
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After 16 years of work inside Eritrea and with over USD 500 million on working capital, Nevsun Resources tops all the companies in the Gold industry with the highest in an operating margin of 53.5%. A blue print for the upcoming mining companies in the country
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