Caledonia Mining Share Discussion Threads

[338] 11/5/2018 07:44

£25 is my target when the company can secure another new licence somewhere else in Zimbabwe

[stemis] 01/5/2018 13:46

DCF valuation = 911p.

Interesting that their cashflow projections show that by 2021 they will have net cash of $85.3m and an ebitda of $76.6m. Current market cap is $99.7m. If they hit these numbers can't see the share price in a couple of year as anything other than at least 3 or 4 times the current level.

[stemis] 25/4/2018 09:58

Even at £7 this is only on a P/E of 5.2 - 6.0 and if you deduct the cash 4.6 - 5.3. With significant expansion in the pipeline, which should at least increase profits by 50%, that's still very cheap.

[hastings] 25/4/2018 06:56

That's good to know, looking forward to the open then!

[338] 25/4/2018 06:50

£7 in USA & Canada

[338] 24/4/2018 07:26

680p in USA & Canada

[338] 20/4/2018 12:08

the share price in Canada and USA was equal to 650p so the MM should re-allign it here at some point today or next week...

[stemis] 05/4/2018 16:16

Their EPS forward guidance will factor in their 49% attributable

[chipperfrd] 04/4/2018 16:59

Really good news and looks like another positive year for CMCL. But, in terms of revised EPS and forward P/E for 2018, one needs to factor in their 49% attributable. However, they still look cheap.
Chip

[daz] 04/4/2018 14:29

Yes great news and CMCL have been in Zimbabwe for many years, which other companies have shunned, so they must be in prime position to pick up new assets. I'd like to think they saw this situation coming and have already run the slide rule over a number of opportunities.
As mentioned above they have cash and an existing profitable mine, so hopefully they can fund further expansion out of cash flow.

[joan of arc] 04/4/2018 10:26

Exactly Stemis, EPS up 25% but share price only up 5%. That doesn't make sense, but CMCL is clearly unloved.

[stemis] 04/4/2018 09:56

Yes, great bit of news. Not only is another 35 - 40c (25 - 28p) EPS welcome, but it also further suggests that the business environment in Zimbabwe is changing for the better.

Share price response is a bit grudging. Forward guidance of 165 - 190c (117 - 135p) puts CMCL on a P/E of 4 -5. With cash, a decent dividend and significant expansion in the pipeline, this must be one of the cheapest stocks around...

[hastings] 04/4/2018 08:10

Further positive news this morning resulting in EPS upside and hopefully paving the way for an increasingly positive forward picture.

[stemis] 21/3/2018 10:09

Decent results and encouraging comments on the political situation in Zimbabwe

[stemis] 19/2/2018 14:06

hxxps://www.newsday.co.zw/2018/02/addressing-zimbabwean-business-climate/

The recent amendments to the Indigenisation and Empowerment Act and the slight adjustments on petroleum levies are massive steps to entice investors, as Zimbabwe opens up for new business.

Fingers crossed...

[hastings] 15/1/2018 08:25

Broker note this morning says 2018 production of 55-58.9koz is firmly in sight. Prospects looking excellent here, but shares still look cheap.

[stemis] 15/1/2018 07:55

Followed by...



Approximately 16,425 ounces of gold were produced during the Quarter, a new quarterly production record for the mine. Production in the Quarter was 14 per cent higher than the previous quarter (Q3 2017) which was itself a record production quarter, and 21 per cent higher than the corresponding quarter of 2016 (Q4 2016).

Total 2017 gold production was approximately 56,135 ounces, marginally ahead of 2017 production guidance of 54,000 - 56,000 ounces. 2017 production represents a new annual production record for the Blanket Mine, an increase of 11.4 per cent over the annual gold production in 2016....

At 30 September 2017, Caledonia had net cash of US $11.8 million. Blanket plans to increase production from 56,135 ounces in 2017 to approximately 80,000 ounces in 2021; Blanket's target production for 2018 is between 55,000 and 59,000 ounces.

All looking good

[stemis] 12/1/2018 11:13

Caledonia’s Q3 results indicate record gold production with moderate unit cost decreases. The company is now firmly on target for its FY17 full-year guidance of 54-56koz of gold. We also consider the marked increase in gold grade mined compared with the previous quarter, as a major positive for the company. Following a marked increase in higher confidence category gold resources situated at depth, the central shaft development has been extended to add further long-term mining flexibility.

[blomers] 11/1/2018 17:41

Hmm - ex-dividend today so was expecting a 5p drop - 12.5p is rather more!

[killary cunton] 28/11/2017 16:33

Great fundamentals but it is just sooooooooooo ill-liquid.

[livewireplus] 28/11/2017 16:31

Indeed. And the quoted spread seems to have narrowed today which should make it a little more attractive to deal....

[stemis] 28/11/2017 16:09

With cash of 85p a share and EPS likely to come in at around 90-95p a share, a share price of 505p values CMCL at around 4.5 x earnings. Then there is the upside from expansion which could easily double profits...

[tadtech] 28/11/2017 15:34

Caledonia management are in London currently, getting the message out, this can only be good for the share price.

Hardly any stock on the book right now, Edison say £9.50p based on $1300oz gold price.

What's not to like a exceptionally well covered dividend & low PE, yields 4.5%

That Edison £9.50p target was before Mugabe retired.

[livewireplus] 28/11/2017 14:39

Going up nice and slowly. Now 500p on bid. Looking forward to a little more increase in share price along with the dividend. Stabilizing political environment in Zimbabwe + increasing gold price :-)

[meanreverter] 24/11/2017 13:08

According to today's FT, new president Mnangagwa promises “I wish to be clear, all foreign investment will be safe in Zimbabwe”.