Hochschild Mining Share Discussion Threads

[risa5] 19/8/2020 15:28

Hochschild Mining (HOC)
A slump in revenues and profits at gold and silver miner Hochschild weighed on its share price this morning as the recent surge in precious metals prices proved to be ineffective when most of the company's operations have been shuttered due to Covid-19. Hopes are high of a second half rebound as operations return to production in a buoyant selling environment, but much depends on keeping its mines free of covid infections.
IC

[risa5] 19/8/2020 15:21

Hochschild Mining plc 2020 Q2 - Results - Earnings Call Presentation

Aug. 19, 2020 8:50 AM ET | About: Hochschild Mining plc (HCHDF)

The following slide deck was published by Hochschild Mining plc in conjunction with their 2020 Q2 earnings call.

[sotolo] 19/8/2020 14:56

They were hit not by management incompetence but by a disease called Covid 19 which meant there were lockdowns in Peru and Argentina and they had to close their mines. Their reaction has been very competent to the staff but meant very little produced last quarter.
No dividend because why pay one when closed and not making money??
They have a strong balance sheet and with the mines returning to normal output with be making a lot of cash
You can talk these down but they are good value and will rise. See RBC capital giving a price of 340p on these this morning.

[zcaprd7] 19/8/2020 14:36

Yes, but then why cancel the dividend...

[drago] 19/8/2020 14:03

its like driving a car with your eyes glued on the rear view mirror

[bad gateway] 19/8/2020 13:43

H & S pattern seems to indicate around £2 level for an entry for the brave imo. Was the level the stock last took off from too so interesting.

[c0lin1] 19/8/2020 13:41

Dogwalker I had the exact same entry point.

Might let the dust settle a little first as I see short term PM weakness for a week or two.

[rickus] 19/8/2020 13:30

Can the short people who have recently appeared please tell me what price they will be closing - helps me plan my top-up

[dogwalker] 19/8/2020 13:25

The line supporting the uptrend from 20th March suggests 245p is a significant number.
FWIW I side with ifthecapfts in the exchange above!

[scepticalinvestor] 19/8/2020 13:17

no, the reason for weakness is due to the DIRE results.AU at all time highs - to have numbers this bad takes hard work - extremely incompetent mngt imo I would say fair value at about 60 - 70p. The share price has been hyped on the back of AU

[ifthecapfits] 19/8/2020 12:59

Don't talk rubbish. Fall from recent highs due to temporary PM weakness and today's 10% fall, top up time and I have.

[investor73] 19/8/2020 12:39

Under £2 possible imo.

[roger207] 19/8/2020 12:35

£1 next

[roger207] 19/8/2020 12:30

Debt has increased, revenue decreasing, uncertainty on operation due to COVID-19, deferred dividend

Not good, share price to crash

[r88ave] 19/8/2020 12:20

it will be interesting when conference call opens later at 2.30pm to see if any positive reaction to share price this afternoon.

[sotolo] 19/8/2020 12:05

Anyone: Are my simple sums On back of a stamp flawed?
Next year say 14m Oz silver (16.8m 2019)at $16 profit per ounce = $225k
Say 220k Oz gold (270k 2019) at $900 profit = $210k
Total before tax conservative $435k
Say after tax $300k
Which is sterling £230k profit. Value of company £1.3bn. So PE 5.5
Am I missing something here or is this a great buy now at half the PE of rivals? I presume I must be

[arja] 19/8/2020 12:02

sudden lurch southwards and market is saying that results worse than expected . It might get to 220 chart support sadly but usually nothing goes down in a straight line .

[arja] 19/8/2020 10:38

but it is not a NAV situation like an investment trust and share price based on profits made I suppose . They still have many overheads to cover quite apart from huge remuneration of senior executives and keeping it in ground does not help that

[zcaprd7] 19/8/2020 10:32

Agreed, I suppose a delay in getting the stuff out of the ground is good, because its worth more now, than it was 6 months ago?

[arja] 19/8/2020 10:10

then why not go for an instrument which follows the gold price such as GBS or GBSP? I prefer the latter but hard to make enough on day trade with a CFD after commission but possible on a good day . But maybe you like to hold for a while

[asagi] 19/8/2020 09:56

I'm feeling torn here. While I'm bullish on precious metals, if they can't get it out of the ground...

Asagi (long HOC)

[investor73] 19/8/2020 09:41

Covid 19 deaths are still high in Peru,that is likely to affect the production to some extent in the second half too.

[arja] 19/8/2020 09:31

chart suggests support at about 220 as worst case scenario .

[fieldhouse] 19/8/2020 09:20

The financial results only followed the production report.
About what i thought they would be but the delay at San Jose knocking progress.
Knock down on PM's not helping.