VICTOR GOLD MINING CO.
A stock which has assumed considerable prominence in the Boston market recently is that of the Victor Gold Mining Co., which has advanced to about 8. Very flattering reports are being circulated as to the profits of the mine, and predictions are being freely indulged in that the stock will sell at 15, and there are those who are confident that it will sell at 20.
The fact is pointed out that this company has already paid out about $995,000 in dividends, or an amount nearly equivalent to its entire capitalization ($1,000,000), and it is reported that an "indefinite period of successful operation" awaits this mine. It seems very singular, however, if such an era of prosperity awaits this company, that the French holders of this stock should have been willing to part with it.
A large portion of this stock, it will be remembered, has been held in Paris, or was held there until recently, and that this property some years ago was offered to the Bigelow interests at lower figures than are now quoted, but they decided to let it alone. We are informed that the present promoters gave what was equivalent to three dollars per share for it.
Whether the present movement in the stock is for the purpose of enabling them to unload, it is impossible to determine.

The company is at present paying dividends at the rate of $2 per share per annum. If this rate is to be continued, the purchaser at 8 is receiving 25 per cent on his money, and even if purchased at 20, the stock would net him 10 per cent his investment, on value of the stock is $5 per share, so that it is now paying 40 per cent on its value. The question may well be asked, why a 40 per cent stock is not selling higher.

The company makes a good showing, but the trouble is that there is no assurance that the life of the mine is to be prolonged for any length of time. If the public had confidence in the property, it would unquestionably sell higher. The report of the company for the first half of this year is a very favorable one, showing net earnings of $238,567, the sales from ore being $361,301.
The company paid $150,000 in dividends, spent $15,514 for betterments (buildings and machinery), and $20,000 for the purchase of the Little Joe claim, which comprises a tract of seven acres, which is a southern extension of the Victor mine.
After deducting these expenditures, there remained a surplus as the result of the six months' operations of $185,514. The company reports that it had cash in bank June 30, 1898, amounting to $130,784. Dividends on this stock were suspended, it will be remembered, from April to December, 1897, but this is reported by the management to have been due to "lack of cyanide ore market, pending installation of roasters at Florence mill."
The management report that veins are becoming stronger as depth is attained, and reserves are larger, although "no conservative or correct estimate of tons or dollars in sight can be made."
P. DE MEDICI