||EPS - Basic
||Market Cap (m)
Real-Time news about Frontier Min (London Stock Exchange): 0 recent articles
|temmujin: this should help FML
Interesting comment from Financial times
Kaz Minerals rallied 9.5 per cent to 194.1p, having fallen sharply on Wednesday in tandem with copper. The rebound came amid speculation that Kazakhstan could devalue the tenge, which tends to follow the rouble, but is pegged against the US dollar.
Kazakhstan’s 2014 devaluation triggered a 20 per cent share price rally for Kaz, which pays around 60 per cent of its costs in tenge, analysts said.|
|hereford29: I don't think it is a real company at all. I don't think these assets are even being operated, they probably sent everyone home last year and are just paying themselves the wages, and the photos on the website are just taken from picture libraries. That is the only possible explanation for such a contradiction between statements by the board, announced results and forecasts and the share price.|
|cascudi: hi maxim1999, i am in the same situation and hope of you
My thinking is this:
1) if I look the history of working capital (current asset - current liabilities) this value has always been negative. Also when the company was trading at much higher share price. in other word they always have more short term loan then asset.
2) But recently they sold an asset and this should improve the situation of the working capital..
so my question is why bank should unplug the credit facility now that the company is going to receive some cash that should be used to pay some short term loan? if bank did not trust the company .. may be they could have done earlier? why now?
3) the big loss they had in the latest interim was due to the change of exchange rate between dollar and local currency created by the Kazakhstan bank. so it is due to local government policy. It is not FML fault. It does not happen every day that the a state bank change in one day the exchange rate.
4) But what i cannot really understand and FML ceo should answer... is ...why this year the production forecast is almost the same of last year (1500 / 2000 ton) with so much done to increase production?
they need to answer to us about this. what happens to the production forecast of 4000 ton? and we will be at 10000 ton?|
|jascat: No way of knowing for sure, but looks like he is. He has been selling for weeks.
FML require private investors to list on AIM. They list on AIM to present a market value of the company. Their original plan was to build up the company & so the share price, to encourage a buyout & quick profit. Due to the previous leaders bungling, this did not happen, so they need us more than ever to show value in the expected rise from the levels we see now.
FML has an enterprise (takeover) valuation of around £70 million (in excess of 3p a share).
Patience is needed. If you are concerned, then it's best to sell & walk away, rather than become ill with worry. Certainly not a share for widows & orphans.|
|hereford29: It was a serious post, based on my recent experience at Sunkar which had related founders and controlling sharholders. You don't think there is any chance of FML de-listing then? Or selling to a trade buyer at a low point in the share price to "prevent insolvency"? This is what it looks like to me. I hope I am wrong, because I invested a lot of money in this company, and I have lost most of it at today's price, but I haven't sold any of my shares.|
|hereford29: I use heroes in the journalistic sense, my point being that this company has a small free float, which could indicate the owners had little confidence in or no intention of remaining in the market in the first place, and there may have been been a predefined timetable to let the share price slide until it is taken private for a fraction of its' recent valuations. Or it could mean that the management are genuine and actually trying to do what they say on their website. As PIs, we don't know, nor can we find out. For the majority of AIM listed miners, there is no evidence that management make any attempt to reach the stated goals at all, and many of these companies end up at very low share prices and market caps compared to the IPO or refinancing prices, or being delisted, or being put into bankruptcy, without ever generating an operating profit or managing to secure the promised investor or trade sale to realise shareholder value. Adam is a Consultant and probably has given good advice within the limits of his access and influence, but he's only a Consultant. He isn't running the company.|
|hereford29: If people are selling company shares in large blocks, it could indicate that vested interests are offloading these shares while their house brokers try to keep the share price propped up as high as possible before a suspension of trading. At least looking at many other AIM mining companies, this would appear to have been the pattern. The majority of AIM small cap miners peaked at around Q1 2011, and have seen a continual share price decline since then, a few of them have recently been delisted or are in the process of delisting under circumstances that disenfranchise private investors. Photos on a website are not at all helpful for guidance, they are not a statement of performance and don't make any legal commitment in terms of Regulatory news. Possibly the company have turned the corner and will stabilise and regain upward momentum. Possibly they are bankrupt, staving off this admission until the last possible moment, when they will suspend trading and announce a low cash offer for the outstanding shares, or a trade sale, or possibly insolvency. Because the company do not reply to requests for updated information, and no updates have been given on production figures and cash flow since the year end results numbers, this is not possible to comment on other than by guessing. If it is the latter (suspension followed by delisting), then it can only be as a result of deliberate deception with the collusion of advisors, since it is impossible that management and advisors are unaware of the real situation. If it is the former, then it will be a heroic turnaround by a hard-working and honest management team.|
|hoveactually: believe you me there are far easier shares to trade than FML, for starters the shares need to be liquid and these aren't at the moment.
logic suggests that even loyal long termers should always sell some shares when it spikes but what is an unsustainable rise?
in January last year the share price moved from 2.75p to 4p, sellers came in and during February it retraced to 3.5p. unsustainable rise? certainly not as the share price moved in March thru 6p which certainly was an unsustainable rise.
this January the share price moved from 2p thru 3p, unsustainable rise? certainly not as it is little changed. there will be an update soon (you can hold me to that) and it is likely to generate another spike in the share price but whats unsustainable, well that mainly depends on the news but i would say a rapid move to 4p is sustainable, 5p would warrant a top slice but 6p would probably warrant dumping the lot as the chances of buying back for less would be very high.
but remember some people can't/won't trade, choosing to live with the ups and downs and are looking towards 2014 and for sure the share price is gonna be a lot higher than 6p by then.
moral? each to his own.|
|barryrog: I see the long term deramper is back with yet another alias established over the weekend and he sounds just as desperate as his previous attempts to undermine the company with his scaremongering.
i think this time he has got his timing very wrong because there is a good chance of a steady rise in the FML share price over the coming months.|
|kerrie3: FML does have a current valuation 0f £53m v WTI's £33m but that is based solely on the current share price of the respective companies and is a reflection of FML having only just started production v WTI who have a mature operation.
for a true valuation comparison you need to look at the Balance Sheets where FML have assets in the region of $247m v WTI $58m which is a reflection of the size of the copper resources which are nearly 10 times higher at Frontier.
as for the economics of the business the copper grade is higher at FML and they have a 'state of the art' production facility and this is reflected in the production costs - WTI average $5500 per ton whereas the forecast for FML is around $3500 per ton albeit that has yet to be confirmed.
and as for earnings the high profits shown by WTI are mainly due to a one off asset sale, reversing a credit provision and tax credits whereas FML had nominal revenues from the old business so thats an apples to pears comparison. WTI copper production has been averaging 1550 tons per quarter thru 2012, FML have yet to report any formal numbers.
you will only be able to make a true comparison on full years earnings when you can align 12 months production/sales/profitability alongside each other.
don't get me wrong, i'm not saying WTI is not a good share to own i'm just saying that looking forward imo the upside potential increase in the FML share price is much higher,particularly with the Baitemir resource announcement pending.|
Frontier Min share price data is direct from the London Stock Exchange