In their second day of trading, shares of Canadian company Austin Gold (NYSE:AUST), which searches for gold deposits, are experiencing price volatility and heavy trading volume. In its debut yesterday, AUST stock climbed 9% to $4.37.
While precious metals stocks are traditionally seen as good places to invest during periods of high inflation, gold and silver prices have dropped meaningfully as stock markets have tumbled.
Alongside this, Austin announced that it anticipated obtaining net proceeds of $11.85 million from the Austin Gold IPO. Priced at $4 per share, the IPO came in at the low end of its $4-$6 range.
5 Things to Know About AUST Stock
- Austin was launched in April 2020 in order to search for gold in an area known as the Kelly Creek Project in Humboldt County, Nevada.
- Now, this project is where it focuses its exploration efforts.
- However, the company has also acquired three, much smaller projects, all of which are also located in Nevada.
- AUST stock soared as high as $29 yesterday on the first day of trading following the Austin Gold IPO.
- According to Austin, a number of its executives have “been instrumental in building several mining successes in the past.” The company also employs two geologists who have previously discovered a great deal of gold and silver.
On the date of publication, Larry Ramer did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.