Half year results in September, interim dividend of 1.3c? |
One day the Management will admit that the shares need to be quoted on an international exchange to attract new buyers and to avoid more damage from the weak Rand.
Absurdly cheap but Management do not do enough to promote the company.
Expecting strong interim and dividend next month and a reasonable emerald auction. |
Yes markets are not in a good place but for this to be in the 14's again is poor. |
Last year was an odd one with 1H earnings of 4.1c and 2H of 1.7c making 5.8c in total. 2H was hit by lower revenues (but in line with trend) combined with the fuel price spike.
Gem sales revenue for 1H23 came in better than 2H22 and fuel prices have been falling. |
Volume has spiked but done no favours to the share price
Last year earnings were 6c which would put p/e around 3; what are EPS estimates for this year anyone? |
Weakening rand hurting this for some reason even though no relevance at all. |
This should not be affected by a downturn, even a recession Already at a super low p/e of 4. |
China dragging everything down |
Positive for Gemfields. The last CEO always said that Madagascar has the most potential but is the most corrupt so refused to deal with them.
Having now exposed corruption it should help to open the doors whilst enhancing their reputation in what is a pretty dirty industry, blood diamonds for example |
More details in the national crime agency report. Be interesting to see if there is any reaction from France with a French national being implicated. https://www.nationalcrimeagency.gov.uk/news/madagascan-president-s-chief-of-staff-charged-with-bribery |
Madagascar, as I recall, was only a gem prospect with nothing ever invested or agreed ?If so, then I suspect we won't be doing business there until the govt changes, but it will show other potential partners that gemfields is an honest company. Whether that is a good or bad thing when dealing with southern Africa in a different matter ! |
Shows their honesty in reporting it. |
news about alleged bribe attempt |
The second wash plant will significantly increase earnings from 2025 |
Liberum (house broker) don't see any problem with the dividend.They have 2023 of 2.2p. 2024 of 2.3p and 2025 of 2.5p.They have a low point for net cash in 2025 of $44m before rising again rapidly. |
Being objective the risk is of lower dividends though as they now have to cater for this expense. Getting sold off. |
Cost is over 2 years and will be funded by cash and debt, will pay for itself in 18 months. Being paid for in a very weak currency.
Still large cash reserves to be repaid to shareholders via dividends.
Very positive. |
What does this investment mean in terms of revenue and the dividend? |
Probably due to a write down of PGM investment at some point in this years a/c's? |
Share price is disappointingly stuck but at least it is stable, could be worse but yet another example of a FTSE stock at half its true value. |
Nice to have Ninety-one / Investec onboard. |
Hopefully a full year dividend of 2.5p |
So under the radar as company does so little to promote itself.
Needs a Nasdaq quote |
Yes, I agree, share price absurdly low at current levels. Gemstone market outperforming others with continued strong demand at auctions.Highly profitable mines.Faberge continuing to grow.Net cash over 50% of market cap.Share buyback scheme in operation.20% dividend return.Would still be cheap at double the share price. |
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