Gem Diamonds Share Discussion Threads

[davethehorse] 03/9/2020 08:07

Nothing we didn't already know in the results. Expect as usual that the shares will fall back after a very good run recently?

[apollocreed1] 01/9/2020 13:56

I bought these at 138p and I'm still in. I used Graham valuation metrics as in the book The Intelligent Investor, but it never went to plan because book value, diamond prices and earnings kept falling. But I'm still in as they are good value.

Nowadays I prefer growth companies with high ROCEs because Terry Smith's lectures on YouTube have converted me to his style of investing.

[csmwssk12hu] 01/9/2020 10:29

I’m all alone and don’t forget it, it’s just a crazy phase I’m going through. I find diamonds, bloody big ones, it like no one else is noticing....... the debts gonna be gone. Big dividends will be paid, to those holding on ex divi date. The shares will rise, a lot from here. I just cannot wait, there too cheap, all imho dyor, yes I have lost the plot, do that above to the tune of the sing.

[csmwssk12hu] 01/9/2020 07:30

Another huge find, around 10 million for that one, that’s around 30 million between the two in the last couple of weeks and doesn’t count the small stuff, results due in couple of days good year with even better year to come what’s the market cap 40 million or so and only 10 million debt, crazy price, them two have cleared debt and got half mcap between them imho dyor

[davethehorse] 28/8/2020 14:52

Bit of profit taking following the good rise from 23p to 32p of late

[davethehorse] 27/8/2020 14:52

MMs happily accumulating stock it seems, absorbing sells. What do they know?

[davethehorse] 27/8/2020 11:15

Looking for 40p around results time

[tresham] 26/8/2020 20:50

I think share price will rise up to results then fall back.
Still seems good value.
Environmentally less damaging than gold and a good store of value.

[davethehorse] 25/8/2020 12:25

Got to leave 30p level behind soon imo. Results a week on Thurs.

[davethehorse] 24/8/2020 15:55

Not sure but its way undervalued. Think it will keep rising all the way to results and a return to between 40p and 50p level.

[tresham] 24/8/2020 15:39

There must be funds, (ESG), selling?
Looks good value to me

[davethehorse] 24/8/2020 15:37

Added some more on todays bit of weakness

[thelongandtheshortandthetall] 24/8/2020 08:06

Gem Diamonds, a London listed company, just unearthed a 442 carat diamond from their Letšeng mine in Lesotho worth $18m (R310m)

[csmwssk12hu] 21/8/2020 15:17

Can just see this climbing to 35 into close, I think will rise again up until results with clear momentum behind it imho gla

[davethehorse] 21/8/2020 15:15

Wait for the analyst upgrades...can see targets being raised significantly. GEMD should be 40p minimum now imo

[csmwssk12hu] 21/8/2020 15:03

It’s all good, keeps up momentum, results week on Thursday, may spike on them especially if we get a dividend imho gla

[davethehorse] 21/8/2020 13:46

https://www.google.com/amp/s/www.proactiveinvestors.co.uk/companies/amp/news/927262

[davethehorse] 21/8/2020 13:41

Broker Liberum said this was a "nice big timely recovery".Analyst Ben Davis said: "From my untrained eye and looking at the photos on the website, its seems to have no large visible inclusions, good colour and is a decent shape to yield a large polished stone."A very rough guess it could be worth in order of magnitude between $10-$15m (the 910- carat Lesotho Legend for comparison sold for $40m), which after tax would be yielding a free cash flow yield of $6-$9m or 11%-17% of the current market cap. It is these types of discoveries that attract investors to Gem Diamonds and expect shares up strongly today."

[davethehorse] 21/8/2020 13:24

GEMD does look way undervalued at these levels, a few weeks ago they were 23p, ridiculously low, decent rise since though and should continue to re rate to at least 40p short term imo

[sikhthetech] 21/8/2020 12:04

Nice 442ct diamond recovery. Not a type 11a 'exceptional' like the 183ct one but still a high quality large stone.

[davethehorse] 21/8/2020 11:06

Fingers crossed but what valuation?

[jpuff] 21/8/2020 11:01

These are too low and due a big restate imho or a bid will emerge soon I reckon

[csmwssk12hu] 21/8/2020 10:08

At £40m that’s the market cap, also results due out 3rd September, current net debt 5m down from 10m six months ago, may be in net cash position, if can be making 10m per year without a big find no debt and start paying that out in dividends that’s a 20% dividend yield on a debt free miner, whichever way you look at it it’s too cheap, reminds me of Anglo Asian, nobody wanted it at 13p, now look where it is imho dyor

[davethehorse] 21/8/2020 09:53

Let's see if the buying is sustained or whether it falls back, has risen from 23p recently