Pershing Gold Corp. (PGLC, Financial) insiders Douglass Barr and Barry Honig purchased a total of 13,500 shares of the company in two separate transactions in January.
Honig, director and 10% owner, purchased 10,000 shares of the company for $3.09 per share on Jan. 30. Barr, director, bought 3,500 shares for $3.30 per share on Jan. 17, according to the Securities and Exchange Commission.
Pershing gold has a market cap of $87.23 million, an enterprise value of $77.53 million, a price-book (P/B) ratio of 2.12, a current ratio of 14.50 and a quick ratio of 14.50.
Pershing Gold is a gold and precious metals exploration company that pursues exploration and development opportunities in the state of Nevada. The company is currently focusing on exploring its Relief Canyon properties in northwestern Nevada.
The Relief Canyon Mine was acquired by the company in August of 2011. At the time, it consisted of 1,100 acres of unpatented mining claims and mill sites, three open-pit mines and a processing plant.
In 2012, the company expanded the property with the acquisition of approximately 23,000 additional acres of unpatented mining claims and leased and subleased lands around Relief Canyon. The expansion gives the company more opportunities for growing its operations.
The mine is Pershing Gold's primary focus. Its Relief Canyon property rights currently total approximately 25,000 acres and are comprised of approximately 948 owned unpatented mining claims, 120 owned millsite claims, 172 leased unpatented mining claims, 2,235 acres of leased land and 2,770 acres of subleased private land.
According to GuruFocus, Pershing Gold has a 5 out of 10 financial strength rating with no debt. The Altman Z-score of 25.09 indicates the company is in the safe zone and is not in danger of filing for bankruptcy within the next two years. The Beneish M-score of -3.93 suggests the company is not a manipulator of its financial statements.
Pershing Gold has a 3 out of 10 profitability and growth rating with a return on equity (ROE) of -48.06%, a return on assets (ROA) of -37.36%, three-year EBITDA growth of -30.20% and an earnings yield of -19.57%.
GuruFocus indentified some positive metrics for the stock that investors should be aware of:
- The company's P/B ratio is close to its 10-year low.
- The company’s price is close to its 10-year low.
- The company has no debt.
Disclosure: Author does not own any shares of this company.
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