Kinross Gold (K.TO)

Just when you think it can’t get any worse for gold, it does. He personally thinks this is at a level now where maybe you just hold your nose and buy it. If you are looking out longer-term, and you are patient and you’re risk tolerant, he thinks you can buy some here.

With new management in there the focus is more on profitable growth with the scaling back of projects so they are more profitable. Growth in production in some areas of the world. Completely unhedged.

(Market Call Minute) Disappointed so many times.

There has been a lot of volume on the golds lately. This is still a “show me” story. There is good value in other smaller things. Eventually they will get production in Tasiast (West Africa) up but that could be in 2015-2016 and he’d rather not wait that long.

Model price is $21.92 which is a 100% upside. Have had some operational issues. Chart indicates that it is certainly going to go to the $11.58 level. It will probably hang there for a while. If it broke out above the $11.58 level, it would be very positive for the stock. (See Top Picks.)

Too expensive for him. An interesting contrarian play. Not on his Stock Watch list as it still doesn’t qualify in terms of the filters. If it came down a bit more, it potentially could. If you want to buy in on this stock, you have to understand what the potential is for the mine and how it might not work out the way they planned.

Thinks Gold is going higher.

(A Top Pick Aug 19/11. Down 45.77%.) Had thought the project in Mauritania looked good but then the company wrote the asset off. Got rid of their president. Has bought some recently. Still cash flowing.

Trading .75 book. Questions if it has corrected enough. Thinks they have not cleaned house enough. He would rather sit on the sidelines. It is cheap but it could be cheap for a long time. Could be taken out but there is an important message with Barrack: The market is waiting for you to get back to basics.

Has never been a big fan of owning gold stocks in general and this one in particular has just been bereft of problems. Just announced another disappointing quarter. NAV is dropping.

Not crazy about it because it has assets in Russia and she would not be investing there because it is a very strange place – she was just there on vacation. There is political risk, increasing, right across the spectrum, especially in mining stocks. There is political pressure to earn more money one way or another with these assets. Prefers Franco Nevada – she trades it a lot. She also buys bullion because no political risk.

(Market Call Minute.) Absolutely nasty, but so big that somebody might just buy it.