Hummingbird Resources Share Discussion Threads

[napoleon 14th] 04/12/2020 15:34

Considering the triple whammy of Covid, military coup & record rain season,
then some other aspects on top, IMO HUM have done well.
They are a lot more cautious than before.
Future plans are good.

I'm ignoring the share price "noise" & not sold any, nor getting excited.
After all, I've been in RBW for 3 years & GGP since 2007, & lok at them now!

Another CEO interview, start to 12 minutes: hxxps://www.voxmarkets.co.uk/media/5fc79fa2bc74c922485f4fd6/?context=/

Good value here today.

GLA...

[borderterrier1] 04/12/2020 14:40

meanreverter If you read the glowing 72 page promotional report by Frank Campbell, (who won the trip to the site) you will read that the mining area was very carefully, (at huge expense), prepared by Hums mining experts.....with 30 experienced mining in W. Africa, to prevent collateral damage by excessive rainfall. What happened?

I could go on and on to bring up many, many more questionable pitfalls and ramifications that have contributed to this abysmal share price over the last five years but that would be a futile exercise........... .it has been documented on here and the LSE bb multiple times by me and others.

At some point investors have no choice but to accept that staggering from one crisis to the next isn't exactly the company described as "Running as smoothly as a well oiled Swiss watch" that Frank Campbell excitedly reported to investors back in 2017.

And it is not, IMO, (as you suggest), competent management. Something needs to change.

[meanreverter] 04/12/2020 14:20

UKGeorge — I agree that the deals with barely known Bunker Hill and practically nonexistent ARX were pretty questionable.

However, The company is not to blame for unprecedentedly high rainfall making opencast mining difficult. Nor was it responsible for the closure of Mali's borders following the coup, making the import of essential equipment and personnel difficult. In addition, covid-related restrictions on travel and work operations have affected many miners, including Hummingbird.

As for the share price: that is down to the market and is not in itself evidence of bad management, any more than a court's judgement is evidence for the guilt of a defendant.
Dodgy deals aside (if you can put them aside), I think that management on the whole has been competent. Probably, though, the dodgy deals alone are enough to merit the present dismal share price.

[borderterrier1] 04/12/2020 14:18

Plat Hunter It isn't me that's the idiot here, it's you. Please carry on trying to impress us all with your superior "knowledge" but the ultimate proof of the pudding after five miserable years is the abysmal "shareholder value". In other words, there isn't any. As UK George correctly says, that was the result of errors, questionable dealings and OUTRIGHT BAD MANAGEMENT. Sorry, Plat Hunter, I ABSOLUTELY DO know more about this co. than you think you do.

[ukgeorge] 04/12/2020 11:13

Adding the LOM would be quite informative and must be one of the main reasons for the discount.

[chipperfrd] 04/12/2020 10:38

I try and find PM stocks that are under-valued compared to their peers. Obviously, there are a multitude of factors that have to be considered and there really is no guaranteed method - otherwise under-valuations would not exist and that clearly is not the case!!

I discovered one method in a book called "What works on Wall Street" which creates a scoring system based around 5 financial metrics, PER, PBV, PSR, Ev/EBITDA, PCF.

Hence, I have maintained a comparison table of PM producers which I list as Table#2 in the header of my 'CHIP' thread:

The table has shrunk from the original 70+ stocks due to Takeovers et al and now consists of 61 Gold & Silver producers listed in N.America, London & Australia.

As I currently have HUM as the 2nd most under-valued stock using this method I thought I would try and knock out a table of the top ten stocks plus the overall average numbers for each metric calculated from all 61 stocks.

Updated 04/12/2020
Stock name ...... Code .... PER ... PBV .... PSR .... Ev/EBITDA .... PCF
Medusa .......... MML . ... 3.2 ... 0.71 ... 0.76 ......... 1.3 .... 2.0
Hummingbird ..... HUM . ... 3.8 ... 0.85 ... 0.75 ......... 1.6 .... 2.5
Serabi .......... SRB . ... 8.1 ... 1.19 ... 1.14 ......... 3.2 .... 4.4
Centamin ........ CEY . .. 12.7 ... 1.45 ... 2.11 ......... 3.1 .... 3.7
Caledonia ....... CMCL. ... 7.0 ... 1.36 ... 2.01 ......... 3.6 .... 6.6
Perseus ......... PRU . .. 12.5 ... 1.34 ... 1.99 ......... 4.4 .... 5.5
St Barbara ...... SBM . .. 13.7 ... 1.31 ... 2.13 ......... 4.9 .... 6.3
Anglo Asian ..... AAZ . .. 11.3 ... 1.64 ... 2.11 ......... 3.9 .... 4.5
Shanta .......... SHG . .. 77.0 ... 1.65 ... 1.10 ......... 2.8 .... 3.0
Trans Siberian .. TSG . .. 38.3 ... 1.43 ... 1.86 ......... 5.0 .... 4.5

Average 61 stocks ..... .. 58.1 ... 2.21 ... 4.70 ........ 15.0 ... 26.9

PER is Price/Earnings
PBV is Price/Book Value (ie Net Assets)
PSR is Price/Sales
Ev/EBITDA is Enterprise Value (ie MktCap+Debt-Cash) / Earnings Before Interest, Tax, Depreciation & Amortisation
PCF is Price/Operational Cash Flow

Chip

ps. to clarify: Price is yesterday's close. All other data is from financial results to 30th June 2020

[chipperfrd] 03/12/2020 17:42

Bit of smoke and mirrors! The 1m was actually late reported from 09:52.

[borderterrier1] 03/12/2020 17:24

ToInfinity. You couldn't be more wrong. As I have said many times, what I have invested here is a drop in the ocean, mere pennies in my complete portfolio. But when others suggest on here that I "need help" because I am concerned and disturbed by the now abysmal performance of this share price it baffles me. Even more so when I compare the performance to other gold miners in my portfolio. I'm not trying to run a gold mine, Ceo Dodgy Dan and the "experienced" bod are. I would suggest, after this length of time, having completed the mine "on time and on budget" it's them that needs the help? The immortal words of President Harry S. Truman "The buck stops here" come to mind, don't you think?

[nickwild] 03/12/2020 17:21

some punchy sells after close - 3.5M

[borderterrier1] 03/12/2020 16:29

Poor, poor, Plat Hunter. I never argue with an idiot because I know he will always beat me with experience. But please try to focus your delusional mind on this FACT for a moment.

Despite the uptick in gold, this share price is considerably less now than it was as a mud field. Do you really think that, given the choice five years ago, investors would have parted with their money if they had know the abysmal management skills of the Ceo and bod here would have resulted in that? I mean really? And you think I need help? Grow a pair and face facts.

[doc_oj] 03/12/2020 16:26

I do like to come here and read the posts every now and then when feeling a bit down, cheers me right up lol lol

[plat hunter] 03/12/2020 15:39

Is this thread terrier free?

[plat hunter] 03/12/2020 15:21

Oh dear Border.I'd get help if I was you.

[cinoib] 03/12/2020 15:14

LLB, just like I said then, the rubbish will finish i the bin and new will re-asses. I haven't seen any miner yet this year hit or exceed target, c19 has seen to that. So this was expected.

[chipperfrd] 03/12/2020 15:10

Average POG over 1H was US$1,649/oz

Average POG over 2H is US$1,911/oz so far.

HUM reported AISC of US$936/oz for 1H. I calculated AIC (ie All In Costs inc non-sustaining Capex) of US$980/sold oz for the half.

2H AISC will be higher (3Q was at US$1,283/oz for reasons already reported) but given the improved POG it would appear unlikely that the overall margin/oz over 2H is going to be lower than 1H.