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For 1911 Gold, you have to believe in the company turning exploration success at True North into a real mining business, despite currently generating no revenue and posting a year‑to‑date loss of about C$12.3 million. The roughly C$23.0 million just raised through a mix of flow‑through and non‑flow‑through units materially shifts the near‑term picture: funding risk around drilling, resource upgrades and preparing for potential test mining now looks less pressing, which supports the recent very large share price move. At the same time, the financing adds to an already dilutive year and comes at a point when the stock trades at a rich price‑to‑book multiple versus peers. In other words, the core risks have not disappeared, they have just changed shape.
However, one risk around ongoing dilution and valuation is something investors should not overlook. 1911 Gold's shares have been on the rise but are still potentially undervalued. Find out how large the opportunity might be.Explore 8 other fair value estimates on 1911 Gold - why the stock might be worth just CA$4.10!
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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