Centamin is working to establish itself as a "sustainable" mining company to gain an advantage over the competition。Optimizing returns depends on choosing the right entry point for trading, and the following forecasts draw on technical and fundamental analysis in the short, medium and long term

Introduction to Centamin

Centamin Plc is a smaller medium-sized mining company founded in 1970 and listed on the Australian Stock Exchange the same year.

Following a corporate restructuring, Centamin shares are currently traded on the London and Toronto stock exchanges under the ticker symbol "CEY" on the London Stock Exchange.。The company has offices in the UK, Australia and Egypt and is registered in Jersey, Channel Islands

Due to its size, the company's shares are classified as "mid-cap" and are one of the components of the FTSE 250 index.。Over the past few years, the company has been paying dividends to shareholders

Centamin has been exploring for gold in Egypt's eastern desert since 1995, and its most famous asset is the Sukari gold mine, located 25 kilometers west of the Red Sea and 700 kilometers from Cairo.。Financial reports released in 2022 show that the Sukari gold mine has an expected mining life of 12 years and a gold resource of 9.8 million ounces.

Centamin's insistence on the health and welfare of its employees, the sustainability of its mining operations and its impact on the surrounding landscape has made it stand out in an industry that has been criticized for "lacking environmental, social and corporate social responsibility standards."

As investors pay more and more attention to the operations of the companies they invest in, modern methods of engaging with stakeholders help companies stand out from the crowd。The potential buying pressure for investors is considerable, and they want to buy stocks that will both generate a return on capital and do their best to reduce the impact on the environment

In addition to Sukari, Centamin also operates in Ivory Coast, with projects including Doropo and ABC, covering an area of 5,310 square kilometers.

Centamin Stock Price (End 2023)

Since the forecast for the 12-month price of Centamin stock is still closely related to the movement of gold, it is worth noting the positive price indicators of the metal

Fundamental analysis shows Centamin's share price is far from overvalued。The company's balance sheet is healthy and 2022 was a strong year for the company, although investors have yet to agree

One variable that could affect CEY's share price next year is the likelihood that the company will acquire rights to other mines.。New mines can take up to a decade to come into operation, which means a long-term drain on capital and carries the risk that the level of resources identified will not match expectations

Centamin appears to be considering expanding its footprint, saying: "The company's solid financial position, strong cash flow and development and operating experience give us a significant advantage in acquiring and developing other gold projects.

Analysts are currently bullish on the stock, with four giving buy ratings and two holding ratings, according to TipRanks.。12-month average price target of 131.24p, suggesting the stock will move up significantly from current levels。

Centamin Long-Term Forecast

Over the next five years, there are two long-term trends that could be positive for Centamin's share price.。

First, many investors believe that a commodity supercycle is forming or has already begun。These multi-year trends push up the prices of raw materials and mining stocks, based largely on the time it takes for demand to exceed supply.。

As the world shifts to a low-carbon economy and adapts to new work and life patterns after the pandemic, huge demand for raw materials is expected

About 11% of the gold mined is used in industry, with the biggest demand coming from electronics manufacturers.。Gold is an efficient conductor and non-corrosive, making it the material of choice for connectors, switch and relay contacts, solder joints and connection strips

Equipment to work from home or manage new electric vehicle infrastructure will require new hardware。Analysts at broker Vantage Markets predict the global consumer electronics market will be worth $728.1 billion in 2021 and will grow to $964.6 billion by 2028.

The second long-term trend that could affect Centamin's share price is ethical investing。ESG Investment Strategies Sensitive to Environmental, Social and Governance Standards Increasing Demand for Equity

It is predicted that by 2025, the global ESG entrusted investment management assets will reach $50 billion, by 2028 will exceed $100 billion。Mining companies aren't necessarily the first stocks ethical investors look for, but institutional investors with large amounts of cash who must invest in the mining sector are expected to factor in ESG

Centamin, one of the mining stocks with the highest focus on environmental, social and corporate governance, has said that "responsible decision-making is at the core of our long-term stakeholder value."。The company operates in areas with good access to an educated workforce, while also investing in the workforce through employee (and contractor) development and training.

The company's successful relationship with the Egyptian authorities and communities in the Sukari mining area is the best proof: "We take business ethics seriously, supported by sound corporate governance, transparency and accountability."

Is Centamin worth buying?

Mining stocks are considered higher risk-return stocks, and Centamin is no exception。The price chart shows the stock's high volatility, but some investors will be attracted to high beta stocks that have gone up and down too much

Timing trade entry and exit points is critical to optimizing returns。Projections for Centamin's share price in one year and five years include reasonable reasons why it would be a good idea to buy the stock now

However, the fluctuating price movements do highlight the potential downside risks。The company relies heavily on one mine (Sukari) and one metal (gold)。For more aggressive investors, the share price decline caused by these risk factors is a good opportunity to buy