Ravi Sood: Now is a Stunning Entry Point into Gold Miners
Tom welcomes back a past guest, Ravi Sood. Ravi is the Chairman of Galane Gold Ltd., an unhedged gold producer, and explorer.
Ravi discusses how valuations of companies can reach heights where there is little remaining upside. Today’s markets don’t bode well for most stocks, and plausible growth scenarios are doubtful from here.
Gold has had a good rally over the last couple of years, but the fundamentals have been decades in the making. Until now, most investors have not given gold any attention. Ravi says, “When gold moves higher, the valuations for gold producers can move exponentially.”
Ravi expects a new round of M&A, which should extend to smaller companies. The coming mining cycle could rival the tech bubble of the 1990s. Soon, we are going to see a severe detachment between the paper markets and physical.
Time Stamp References:
0:40 – Stock market valuations.
4:35 – Fundamentals and sentiment.
9:45 – Outlook for mining equities.
15:50 – Paper vs. Physical price disparity.
21:40 – Valuations in a rising gold environment.
27:50 – Jurisdictions in Southern Africa.
31:00 – Cost of labor in different jurisdictions.
34:15 – Environmental costs of green energy.
Talking Points From This Episode
• General equity valuations.
• Gold’s fundamentals haven’t changed.
• Expect more M&A, including smaller companies.
• Next mining cycle should rival the tech bubble.
Ravi Sood is the Chairman of Galane Gold. Ravi is a financier focused on emerging markets. Mr. Sood was the founder and former CEO of Navina Asset Management, a Toronto-based investment firm acquired by a major financial institution. Mr. Sood also serves as a director of several companies, including Blockchain Power Trust, Feronia Inc., and Eve & Co. Previously Mr. Sood was a director of ICC Labs (acquired) and Elgin Mining (acquired).
Ravi is an entrepreneur with a background in mathematics, computer science, finance, and a focus on emerging markets.
Ravi Sood has a bachelor’s degree in Mathematics from the University of Waterloo.