Osisko Development Plummets 18% Following Launch of $45 Million Bought-Deal Financing.
February 20, 2023
Trending News 🌥️
Osisko Development ($TSXV:ODV) Corp., a Canadian exploration and development company, saw its stock price plummet 18% on Friday following their announcement of a $45 million bought-deal financing. The proceeds from the financing will be primarily used by the company to fund exploration and development of its gold and base metal properties in Quebec and Ontario. This decision has sparked concern among investors, as it could indicate the company is pursuing more aggressive investments than previously expected.
As such, Osisko Development Corp. saw an 18% drop in its share price when the market closed on Friday, signalling investor uncertainty about the company’s future prospects following its $45 million bought-deal financing. It remains to be seen whether the company can overcome its current stock price decline and further its growth in the coming months.
Share Price
The details of the bought-deal financing remain uncertain, but this large infusion of capital into the company has caused a significant drop in OSISKO DEVELOPMENT stock prices. The suddenness of the drop has investors and analysts scrambling to evaluate the impact on the company and the future prospects of OSISKO DEVELOPMENT. Live Quote…
About the Company
Income Snapshot
Below shows the total revenue, net income and net margin for Osisko Development. More…
| Total Revenues | Net Income | Net Margin |
| 47.8 | -184.02 | -197.1% |
Cash Flow Snapshot
Below shows the cash from operations, investing and financing for Osisko Development. More…
| Operations | Investing | Financing |
| -61.35 | -133.64 | 249.63 |
Balance Sheet Snapshot
Below shows the total assets, liabilities and book value per share for Osisko Development. More…
| Total Assets | Total Liabilities | Book Value Per Share |
| 1.01k | 214.08 | 10.5 |
Key Ratios Snapshot
Some of the financial key ratios for Osisko Development are shown below. More…
| 3Y Rev Growth | 3Y Operating Profit Growth | Operating Margin |
| – | – | -386.8% |
| FCF Margin | ROE | ROA |
| -32.9% | -13.8% | -11.5% |
Analysis
At GoodWhale we are proud to have recently performed an analysis of OSISKO DEVELOPMENT‘s wellbeing. After reviewing their financial and business aspects, we have concluded that OSISKO DEVELOPMENT is a high risk investment based on our Risk Rating. Furthermore, GoodWhale has detected two risk warnings in the income sheet and cashflow statement of OSISKO DEVELOPMENT. To access more information on this subject, we invite you to register on our website at goodwhale.com and explore the insights of our analysis. With our help, you can make an informed decision when investing in OSISKO DEVELOPMENT. More…
Peers
The company operates in the Province of Quebec and has its head office in Montreal. The company is listed on the Toronto Stock Exchange and the NASDAQ. Osisko Development Corp is engaged in the exploration and development of gold properties in North America. The company has a portfolio of gold properties in the United States, Canada and Mexico. The company’s principal assets are the Windfall Lake gold property located in the Abitibi greenstone belt in Quebec, Canada and the Goldex mine located in the Val-d’Or mining camp in Quebec, Canada.
– Xtra-Gold Resources Corp ($TSX:XTG)
Xtra-Gold Resources Corp is a Canadian-based gold exploration company with operations in Ghana, West Africa. The company has a market cap of 41.38M as of 2022 and a Return on Equity of -10.23%. Xtra-Gold Resources Corp is engaged in the business of acquiring, exploring, and developing gold properties. The company’s flagship property is the Kibi Gold Belt, which is located in Ghana and covers an area of approximately 1,000 square kilometers.
– Gold Springs Resource Corp ($TSX:GRC)
Gold Springs Resource Corp is a gold mining company with a market cap of $42.3 million as of 2022. The company has a return on equity of 3.46%. Gold Springs Resource Corp is engaged in the exploration and development of gold properties in the United States.
Summary
Osisko Development Corp. has seen a sharp 18% decline in its stock price following the announcement of a $45 million bought-deal financing. Investors should be mindful of this sharp share price drop due to the potential dilutive consequences of the financing, but also note that the proceeds from the offering will be used to advance activities across Osisko’s portfolio of properties, which may allow for future growth and increased value for shareholders.
Related Posts
Recent Posts
Investing Everyone Can Do.
Investing shouldn’t be exclusive to a select few. We believe everyone should have the opportunity to grow their wealth. That’s why our app is designed to be accessible and user-friendly, even for beginners.
