Large players volume is surging higher in PVG stock. Pretium Resources Inc. acquires, explores for, and develops precious metal resource properties in the Americas. The company primarily explores for gold, silver, and copper deposits. Its principal project is the Brucejack project that consists of 4 mining leases and 6 mineral claims covering an area of 3,305.85 hectares located in northwestern British Columbia.
There’s not a lot of news out that explains why large players volume has been surging higher.
Gold Bullish But Due For Short-term Pullback
Over the last 3 days, the McGinley Dynamic 10 day line (black) has turned up which is bullish. The doji candlestick up around $166 resistance could mean a short-term pullback like we had on April 14, 2020.
When Pretium Resources reported earnings on April 30, 2020, it crushed it. Pretium Resources reported Q1 EPS of 14c versus the consensus estimate of 6c. The company reported Q1 revenue of $126.6M versus the consensus estimate of $83.5M. Pretium Resources reported Q1 gold production of 82.9K oz versus 79.2K oz last year. The company remains on target to achieve free cash flow for 2020 in the range of $100.0 million to $170.0 million. The 2020 free cash flow forecast is based on an average gold price of $1,450 per ounce.
On May 4, 2020, BMO Capital analyst Andrew Mikitchook raised the firm’s price target on Pretium Resources to C$13 from C$12 and kept an Outperform rating on the shares.
What may be going on with the rising large players volume is that PVG stock was punished in the coronavirus sell off but in reality, that was an overdone sell off because the company reported, “The COVID-19 pandemic did not impact first quarter gold production. Milled tonnes for the quarter totaled 345,139 or 3,793 tonnes per day.”