On 10 September, Wheaton (WPM) announced that it had committed to contribute to Carcetti Capital's financing of its acquisition of the Hemlo mine from Barrick in the form of a US$400m gold stream (c 39% of Carcetti's total funding requirement). At the current gold price of US$3,650/oz, we calculate a 9.2% pre-tax internal rate of return (IRR) to Wheaton from its investment in Hemlo. At Edison's more conservative, longer-term gold prices, we forecast that Hemlo will contribute an average of 0.9c/share to Wheaton's EPS per annum, over the official 14-year life of the mine, and that it will contribute an average of 7.2c to Wheaton's operational cash flow per share. At the same time, we have increased our Q325 EPS estimate by 4.4% and our FY25 EPS estimate by 5.7% to reflect recent strength in precious metals prices. Note that, at these levels, our FY26 EPS estimate rises from the US$1.44/share shown below to US$3.15/share.Den vollständigen Artikel lesen ...
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