This New $125 Million Position Signals Confidence in One Cash-Rich Mining Stock Up 150% in a Year
Key Points
L1 Capital initiated a new stake in Centerra Gold, purchasing 7,051,683 shares last quarter.
The quarter-end position value increased by $124.95 million, reflecting both the new shares and share price movement.
The estimated transaction value represented a 5% increase as a share of 13F reportable assets under management.
- 10 stocks we like better than Centerra Gold ›
On May 14, 2026, L1 Capital Pty disclosed a new position in Centerra Gold (NYSE:CGAU), acquiring 7,051,683 shares in a transaction estimated at $125.39 million based on quarterly average pricing.
What happened
According to an SEC filing dated May 14, 2026, L1 Capital Pty established a new position in Centerra Gold (NYSE:CGAU), acquiring 7,051,683 shares. The estimated transaction value was $125.39 million, calculated using the quarterly average share price for the reporting period. At quarter end, the value of the stake was $124.95 million.
What else to know
- L1 Capital’s new position in Centerra Gold represents 4.91% of its 13F reportable assets under management.
- Top five holdings after the filing:
- NYSE: NXE: $408.34 million (16.0% of AUM)
- NYSE: EGO: $358.42 million (14.1% of AUM)
- NYSEMKT: EQX: $351.83 million (13.8% of AUM)
- NYSEMKT: TGB: $226.51 million (8.9% of AUM)
- NYSE: CRH: $194.51 million (7.6% of AUM)
- As of Friday, Centerra Gold shares were priced at $17.67, up roughly 150% over the past year, and outperforming the S&P 500, which is up 28%
Company overview
| Metric | Value |
|---|---|
| Market capitalization | $3.5 billion |
| Revenue (TTM) | $1.6 billion |
| Net income (TTM) | $633.0 million |
| Price (as of Friday) | $17.67 |
Company snapshot
- Centerra Gold produces and sells gold and copper, with principal revenue derived from its Mount Milligan mine in Canada, and Öksüt mine in Turkey.
- The firm operates an integrated mining business model, generating income through the exploration, development, and sale of precious and base metals.
- It serves global commodity markets, supplying gold and copper to smelters, refiners, and industrial customers worldwide.
Centerra Gold is a Toronto-based gold mining company with operations in North America and Turkey. The company leverages wholly owned, large-scale mining assets to deliver consistent revenue and profitability. Centerra Gold’s strategic focus on operational efficiency and resource development underpins its competitive position in the global gold and copper markets.
What this transaction means for investors
Centerra already sits alongside several mining and metals names in L1 Capital's portfolio, including NexGen Energy, Eldorado Gold, Equinox Gold, and Taseko Mines, so the new position seems to suggest the fund sees Centerra as another attractive way to gain exposure to precious metals and copper.
Meanwhile, the company entered 2026 with momentum. First-quarter revenue jumped 62% year over year to $484.7 million, while net earnings climbed 160% to $79.4 million. Free cash flow reached $49 million, helping lift cash balances to $543.5 million and total liquidity to $943.5 million. CEO Paul Tomory highlighted strong production from both Mount Milligan and Öksüt, noting that higher-than-planned grades at Öksüt helped drive robust free cash flow generation. He also emphasized the company's "self-funded growth strategy" as it advances projects including Kemess, Thompson Creek, and Goldfield.
For long-term investors, the story is becoming about more than gold prices. Centerra is using strong cash generation to fund future growth and distribute cash to shareholders, all while maintaining a strong balance sheet. If management executes on its pipeline, today's operations could be only part of the company's long-term value.
Should you buy stock in Centerra Gold right now?
Before you buy stock in Centerra Gold, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Centerra Gold wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $463,900!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,294,401!*
Now, it’s worth noting Stock Advisor’s total average return is 978% — a market-crushing outperformance compared to 211% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
See the 10 stocks »
*Stock Advisor returns as of May 31, 2026.
Jonathan Ponciano has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Centerra Gold. The Motley Fool has a disclosure policy.
Recommended Articles
