11 Most Undervalued Canadian Stocks to Buy Now

5. Kinross Gold Corporation (NYSE:KGC)

Forward P/E Ratio as of August 6: 13.50

Number of Hedge Fund Holders: 39

Kinross Gold Corporation (NYSE:KGC) is one of the most undervalued Canadian stocks to buy now. On August 1, CIBC raised the firm’s price target on Kinross Gold to $22 from $21, while maintaining an Outperform rating on the shares. The firm cites the company’s solid operational execution for the target bump following its strong Q2 report.

In Q2, the company reported 513,000 gold equivalent ounces produced at a cost of sales of $1,074 per ounce. This performance led to a record operating margin of over $2,200 per ounce and a record free cash flow of $647 million. Kinross Gold’s financial position is strong, with over $1.1 billion in cash and ~$2.8 billion in total liquidity at the end of the quarter. Net debt has been reduced to ~$100 million.

Kinross Gold is on track to meet its full-year guidance targets of producing 2 million gold equivalent ounces, with a cost of sales of $1,120 per ounce and all-in sustaining costs of $1,500 per ounce. Total capital expenditures for the year are expected to be $1.15 billion. The company also reported returning almost $300 million to shareholders to date, including the repurchase and cancellation of $225 million in shares.

Kinross Gold Corporation (NYSE:KGC) acquires, explores, and develops gold properties principally in the US, Brazil, Chile, Canada, and Mauritania.