Clearly, the news has been well received and has helped Gulf Keystone to have a current cash position of $69.5m. However, with the company facing a number of major risks, investing now may not prove to be a sound move. That’s because there’s scope for further uncertainty in the geopolitical outlook for the Northern Iraq/Kurdistan region, while there’s no guarantee that payments will continue in the long run. And with a number of other oil producers being less risky and still offering high potential rewards, it may be prudent to invest elsewhere at the present time.

Improving profitability

Meanwhile, Acacia Mining (LSE: ACA) today announced a 21 April release date for its first quarter results. They may be more eagerly anticipated than usual since investor sentiment in Acacia has improved significantly as the company’s last results release, with the price of gold moving higher and the outlook for the wider sector improving dramatically.

A key reason for this is the slower-than-expected pace of US interest rate rises, with a less hawkish Federal Reserve indirectly boosting sentiment towards gold as it seeks to avoid choking off the US economic recovery. As a result, Acacia’s long-term outlook is brighter and a higher gold price should mean higher profitability moving forward.

With Acacia trading on a price-to-earnings-growth (PEG) ratio of just 0.4, it looks set to continue its excellent share price performance of late. Although it may not repeat its rise of 67% year-to-date in the next few months, it remains a relatively appealing buy for the long term.

Linking up for growth

Also releasing an update today was Amara Mining (LSE: AMA), with the West Africa-focused gold miner announcing details of an investor event regarding the proposed tie-up with Perseus Mining. This is significant for the combined company’s investors since the new entity will have greater financial firepower and a larger asset base through which to deliver improved profitability in the long run.

And with uncertainty set to remain relatively high among the wider investment community, it would be of little surprise for the gold mining sector to remain popular since it has recently been viewed as a store of wealth for nervous investors. Clearly, mergers can take time to come good, but for investors seeking a smaller gold mining play, the combined Amara/Perseus entity could be worth a closer look.

The post Do Today’s Updates From Gulf Keystone Petroleum Limited, Amara Mining PLC And Acacia Mining PLC Make Them Superstar Buys? appeared first on The Twelfth Magpie.

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Peter Stephens has no position in any shares mentioned. The Motley Fool UK has no position in any of the shares mentioned. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.

Amara Mining

Ivory Coast gold miner Amara Mining (LSE: AMA) is on a roll. The firm’s shares have gained 30% in 2016 and are up by 14% today, following the publication of Amara’s optimised pre-feasibility study for the Yaoure gold project.

By focusing on a smaller area of high-grade ore, Amara has improved the commercial appeal of this project. According to the firm, a gold price of $1,200/oz. would give Yaoure a post-tax net present value of $281m. In other words, post-tax profits over the lifetime of the project would be $281m.

Amara says that the all-in sustaining cost of mining Yaoure would be just $667 per ounce, and that at $1,200/oz., the initial investment needed to develop the mine would be repaid in just 2.1 years.

Amara has net cash and — in my view — good management. Today’s report confirms the commercial appeal of Yaoure. At 10p per share, I believe that Amara could still be a very profitable buy.

Rightmove

Over the last year, Rightmove (LSE: RMV) increased its share of property search web traffic to 77%, up from 74% in 2014. Rightmove actually appears to have benefited from the launch of the estate agency-backed competitor, OnTheMarket.com.

Today’s final results show that Rightmove’s revenue rose by 15% to £192.1m in 2015, while earnings per share rose by 17% to 114p. Rightmove’s dividend was given a 23% boost to 27p.

These results give Rightmove a trailing P/E of 33 and a yield of 0.7%. These aren’t obviously attractive, but Rightmove’s key attraction is that it’s insanely profitable. Today’s results show that the group’s underlying operating margin was 75.1% last year.

Virtually all of Rightmove’s revenue is converted into free cash flow. The group returned £112.5m — more than half its total revenue — to shareholders last year, via dividends and share buybacks. Despite this, net cash was held steady at about £12m.

In my view, this increasing focus on shareholder returns could deliver further gains for investors.

88 Energy

Small cap oil stock 88 Energy (LSE: 88E) has risen by more than 400% so far in 2016.

The firm has a 272,000 acre shale play in Alaska. Initial testing of the Icewine #1 well has suggested that this well may have hit a “thermal maturity sweetspot”. Translated, this means that the well appears to have the potential to produce low viscosity oil at a “material rate”.

However, it’s early days. 88 Energy needs to raise more cash to fund seismic surveys and further drilling. The firm is currently benefiting from Alaska’s tax code, which allows up to 85% of exploration expenses to be rebated in cash. However, these rebates are set to fall in July 2016, so 88 Energy is racing against time to get this work done before its costs rise.

We also don’t know what the likely break-even cost of production would be from this acreage. Anything over $30 is likely to struggle for funding, in my opinion.

88 Energy is a high-risk speculative stock. The shares could rise or fall sharply from here, in my view, but I’d certainly take some profits if I was a shareholder.

The post Are Rightmove Plc, Amara Mining PLC & 88 Energy Ltd Today’s Top Growth Buys? appeared first on The Twelfth Magpie.

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Roland Head has no position in any shares mentioned. The Motley Fool UK has recommended Rightmove. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors.