Topic: How To Invest

Power Growth Investor Hotline – Friday, March 12, 2021

Article Excerpt

MAJOR DRILLING GROUP INTERNATIONAL INC., $7.59, is a buy for aggressive investors. The company (symbol MDI on Toronto) is a large contract driller that mainly serves the mining industry. Demand for Major’s specialized drilling services, especially from senior gold producers, is beginning to recover. That has pushed your shares up 236% since they plunged to a low of $2.26 in March of this year. In the quarter ended January 31, 2021, the company’s revenue jumped 22.8%, to $100.4 million from $81.7 million a year earlier. More specifically, revenue in the Canada-U.S. region increased 48.7% to $56.8 million. This region saw an influx in drilling activity for junior miners as well as extended programs from seniors/intermediates in December, and early mining start-ups in January. South and Central American revenue increased by 13.0% to $21.8 million for the latest quarter. Operational challenges in relation to COVID-19 government or customer-imposed restrictions are easing. Asian and African operations reported revenue of $21.8 million, which was down 9.9% from the…