Although I don't look at gold miners that much, I can't ignore that Red5 looks like the only gold stock that has not followed the fall in the price of gold
However Red5 is working from a low base
Probably one reason is that they had positive operating cashflow for the quarter
![8a57e923913dbd84b013b2f827e59e8a79c2fd.png](//strawman.com/member/uploads/objects/c8/8a57e923913dbd84b013b2f827e59e8a79c2fd.png)
The reserve size of KOTH is also double the size of Karlawinda
![eae573e942a1c230f8fb23cbd5433e25dbda7d.png](//strawman.com/member/uploads/objects/10/eae573e942a1c230f8fb23cbd5433e25dbda7d.png)
One negative is the cost of AISC ( around AUD 1837) due to the mix of Underground and Open Pit mining.
![afbfb5e2b6a1f39963400c7f6c65a63980de1a.png](//strawman.com/member/uploads/objects/81/afbfb5e2b6a1f39963400c7f6c65a63980de1a.png)
Another negative is the hedge book and debt.
![181219f43dbb3eca4a0d1e728254f307a7ae20.png](//strawman.com/member/uploads/objects/1d/181219f43dbb3eca4a0d1e728254f307a7ae20.png)
Rough calc of the KOTH NAV is around $1.6bn AUD going by the AISC and average GP of $2860. This however does not include hedging or debt.
At the current market cap of $650m this seems materially undervalued but lots of things need to happen for a rerate a few being consistent production and cashflows and paying down debt quickly.