John Paulson – Gold Equities: Myths, Dreams And Reality [SLIDES]

Gold Equities

Paulson & Co.’s presentation on gold miners titled. “Gold Equities: Myths, Dreams And Reality” from a presentation given yesterday at the Denver Gold Forum.See more slides and goodies here.

H/T Mining.com

Get Our Activist Investing Case Study!

Get the entire 10-part series on our in-depth study on activist investing in PDF. Save it to your desktop, read it on your tablet, or print it out to read anywhere! Sign up below!

Gold Equities Have Severely Underperformed Gold Price

Input Costs Have Moved In Companies’ Favor

Gold Equities

The Sobering Reality Of Gold Equities

  • Analysis of 13 Largest Publicly Listed Gold Companies Shows Total Shareholder Returns Have Been Dreadful
  • Economic Returns Have Been Value Destructive
  • So What To Do?

Average Total Shareholder Returns Have Lagged By 65%

Gold Equities

Despite Poor Returns, CEOs Received $550 Million

Gold Equities

Despite Destroying $85 Billion In Value

Gold Equities

Where Has The $85 Billion Gone?

  • Industry Return on Capital Has Been Lower than Cost Of Capital
  • Cumulative Impairments Since 2010 Have Totaled $85 Billion
  • Analysis of M&A Suggests Serial Value Destruction
  • Return On Invested Capital Has Been Inadequat

Industry Spends More Than It Earns Despite Flat Production

Gold Equities

See the full PDF below.

For exclusive info on hedge funds and the latest news from value investing world at only a few dollars a month check out ValueWalk Premium right here.

Multiple people interested? Check out our new corporate plan right here (We are currently offering a major discount)



About the Author

Sheeraz Raza
Sheeraz is our COO (Chief - Operations), his primary duty is curating and editing of ValueWalk. He is main reason behind the rapid growth of the business. Sheeraz previously ran a taxation firm. He is an expert in technology, he has over 5.5 years of design, development and roll-out experience for SEO and SEM. - Email: sraza(at)valuewalk.com