The previous week did not end well for investors in Contact Gold Corp (OTCMKTS:CGOLF) as the company stock suffered from a selloff and tanked by as much as 6%.
Market Action
On Friday, CGOLF stock slid 5.93% at $0.0392 with more than 33k shares, compared to its average volume of 17k shares. The stock has moved within a range of $0.0392 – 0.0439 after opening trade at $0.0439.
Earnings Review
The selloff came in reaction to the announcement of the company’s financial results for the third fiscal quarter and the nine month period, both of which ended on September 30, 2021. In this situation, it could be a good idea for investors to perhaps take a closer look at some of the highlights. The company noted that the losses that were attributable to shareholders in the third quarter stood at $0.99 million. On the other hand, the losses for the nine month period came in at $4.63 million.
On the other hand, it should also be noted that the bulk of the exploration and evaluation expenses that had been incurred by Contact Gold went toward the company’s Green Springs property. In light of the losses recorded by the company during the quarter and the nine month period, the decline in the Contact Gold stock was perhaps understandable. It is now going to be interesting to see if the stock can actually make a recovery any time soon.
Traders Note
CGOLF stock is trading below the 20-Day and 50-Day Moving averages of $0.0427 and $0.0444. Moreover, the stock is trading below the 200-Day moving average of $0.0680. The stock is down 2% over the past month.
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