Caledonia Mining Share Discussion Threads

[mikkydhu] 17/7/2023 21:28

Useful interview with Mark Learmonth this morning.

[pj84] 17/7/2023 18:13

Agreed a profitable business paying regular dividends which is still growing despite some short-term setbacks.

[stemis] 17/7/2023 09:47

Not a great update but shouldn't have anything other than a short term impact on CMCL (who still seem confident in reaching their full year guidance at Blanket).

However the share price is now at the same level it was 2 years ago when the gold price was $1,800/oz (cp to $1,950/oz now) and production was for H1 was 29,907 oz (cp to 33,472 oz now) with full year guidance of 61-67k oz (cp to 75-80 oz now).

[drradcliffe] 18/5/2023 19:00

I don't think shareholders have been intentionally shafted here but it's an unfortunate turn of events which will lead to a weaker share price short term. I think Bilboes will come good in time. On paper it looks like it will be a cheap and profitable open pit resource. I think Mark L. and the other directors have done a good job for shareholders over many years.

[dozey3] 18/5/2023 16:16

It is a self-inflicted overhang, which of course will deter new investors. If the directors had stuck to their knitting they would be doing the reverse - share buybacks with oodles of Blanket cash. To be blunt: we have been shafted.

[tigerbythetail] 18/5/2023 13:45

This morning's RNS isn't a classic placing, as such. More a reverse buyback, if you like.
But selling that many new CMCL shares ($30m worth) into the market over time is bound to drive the share price down. The implied dilution is around 10%, but the market will make it more than that, I'm sure (barring a really big run in the gold price).
I remain uncertain about the wisdom of buying Bilboes.

[papillon] 15/5/2023 11:54

You make a valid point, TigerByTheTail.

[tigerbythetail] 15/5/2023 10:53

No, there is a new business risk developing here. I think the share price movement is fair.
In essence, have they paid too much for Bilboes and will it eventually live up to expectations? That's an open question.

[stemis] 15/5/2023 10:01

The Q1 results aren't good but ultimately it doesn't really affect the valuation as they've reiterated the production and cost/oz guidance for the year and it was a short term issue...but of course this is the stock market

Despite gold being at a record price we've lost almost 25% of market value (=£64m) for a minor issue which has probably cost the company maybe ~£10m

[papillon] 15/5/2023 07:39

No wonder the CMCL share price has been weak recently! Very poor Q1 figures announced this morning

[papillon] 28/4/2023 19:05

free stock charts from uk.advfn.com


Heikin-Ashi candlestick chart. Due a bounce?

[papillon] 26/4/2023 11:12

free stock charts from uk.advfn.com


Heikin-Ashi candlestick chart. I've had a very small top up as I suspect the share price will bounce back up off of the support offered by the lower Bollinger Band

[stemis] 26/4/2023 10:40

As usual with CMCL, a complete overreaction to a slight deviation from perfection. A temporary loss of maybe 2,500 oz x $2,000/oz = $5m from Blanket which will probably be recovered. Plus the loss of maybe 10,000 oz x $800/oz = $8m from Bilboe. So $13m less tax - $10m ish. Market cap drops $50m.

[stemis] 11/4/2023 12:20

From the CMCL MD&A - Blanket sells all its gold production to Fidelity Gold Refinery (Private) Limited, a subsidiary of the Reserve Bank of Zimbabwe, which refines and on-sells the gold into the international market.

[meanreverter] 11/4/2023 11:47

Interesting video by an Al Jazeera undercover sting operation, covering the dark side of the gold trade in Zimbabwe:

[dozey3] 04/4/2023 20:08

Fortunately I sold part at 1806 in July 2020, and reinvested at 903 in September 2021. The news since has been positive, with central shaft operating to expectations, solar power replacing large % of diesel costs and more exploration rights. What hasn’t changed is political risk, but with more shares held locally since the recent placing perhaps that has decreased. What have I missed? Perhaps all depends on the dividend - it needs cranking up further. If so then £18 by Christmas.
PS. Can’t say which year.

[3800] 04/4/2023 19:21

I wonder if we will ever see £18 again?
3800

[stemis] 04/4/2023 16:17

Gold through $2,000/oz. CMCL must be raking it in

[papillon] 29/3/2023 11:19

Nice rise.

[dozey3] 24/3/2023 13:13

Yes, it is a tiny placing, completely unnecessary imo given the revenue and profit profile. Perhaps buddies getting a cheap shot at the expense of small shareholders.

[leopoldalcox] 24/3/2023 10:10

I agree - tiny dilution and overdone drop caused by a seemingly large discount, but in reality was a tiny discount compared to longer average share price Bought a little more

[catsick] 24/3/2023 08:57

Its a tiny placing, the percentage drop is more than the percentage dilution which makes zero sense...

[papillon] 21/3/2023 19:47

It was overbought yesterday, as was the gold price, according to the 14 day RSI so today's fall in the gold price and hence the CMCL share price is not a surprise.