Serabi Gold Share Discussion Threads

[loganair] 13/6/2019 10:04

At least all the news and forward looking news for Serabi is very positive.

[ppvn] 13/6/2019 09:58

I don't see how they are getting those numbers. 15p would equate to £8.7m profit.

Not even ballpark close.

[loganair] 13/6/2019 09:51

PPVN - Based on analysts forecast EPS for year ending 2020. For Year ending 2021 they're giving a forecast EPS of little over 15p per share.

[ppvn] 13/6/2019 09:44

What are those EPS numbers based on?

They were the same with gold at $1,180 as they are today - that and the dismissal of reserves, exploration activity, etc.

I'll be bitterly disappointed if they can only manage 11p in 2020. They are forecast to do well over 50k oz with the ore sorter, with gold where it is (and where it is forecast to be) those figures are just way off. Perhaps why we are where we are I guess!

[loganair] 13/6/2019 09:25

Interesting to see how many analysts have now moved on to looking at forecast 2020 earnings for companies...Serabi's forecast 2020 EPS is over 11p per share.

The average miners share price is 6x EPS which would give Serabi a share price of 66p with a strongly growing miner at 8 x EPS would give Serabi a share price of 88p.

[ppvn] 13/6/2019 09:11

GM chaps,

Not too fussed with what happens in the ME, always something going on there and recently it hasn't had much effect on POG.

What does grab me is that I think $1700 in the next couple of years for gold is beginning to sound eminently reasonable. Serabi have a track record for getting mines into service in the area and so when Sao Chico and Palito are producing 55-60k oz next year, when Coringa goes live it'll be very close to, or at 100k oz per annum. With an AISC of $900 (again, with the ore sorter this should easily be within reach) and if gold gets to $1,700 by 2021, that's $80mm clear.

Market cap currently less than £30mm. Somethings going to change!

[loganair] 13/6/2019 08:57

The US taking on Iran is a different kettle of fish to taking on Iraq as Iran is over 4 times bigger then Iraq and far more mountainous and has over 100 times more coast line.

If it does all break out in to conflict then see both the price of oil and gold shoot up dramatically.

[gregpeck7] 13/6/2019 08:36

Gold edging higher again.. Iran messing with oil tankers in the gulf. The world is a dangerous place. Gold will benefit

[loganair] 12/6/2019 21:31

Paul Tudor Jones - Stock market goes higher for now.

First Fed rate cut - Long Stocks...Long Gold....Short Dollar.

Once gold goes to $1,400, will quickly rise to $1,700.

[ppvn] 12/6/2019 20:45

Will be interesting to see if gold can break the $1,350 mark. This is why most of my portfolio is in gold these days!

[gregpeck7] 12/6/2019 16:11

Well gold is holding 8 bucks higher which is great.. Another up day for gold tomorrow please...

Meanwhile i think this grinds ever closer to 100p.

[78steve] 12/6/2019 12:20

AAZ produced circa 80m ounces market cap at over £100m. Comparativey this should be valued around £50m if on target for 40m ounces.dyor

[ppvn] 12/6/2019 12:02

I'm still intrigued by what the cindarella shear could hold.

Drill that before any more buying please BOD...

[tightfist] 12/6/2019 11:48

Agreed, let's get some cash and NET cash generation behind us before any more acquisitions. Distressed regional opportunities must be tempting but surely we cannot be taken through an share price lurch like this again?Cheers, tightfist

[gregpeck7] 12/6/2019 10:41

Looks like about 15,000 shares available on the offer, then she is dry again BTW... 1 MM selling.

[gregpeck7] 12/6/2019 10:38

Todays share price still way below where they raised cash.. Circa 70p as well. The shares are locked in tight... I would hope they build up some cash before expanding again.. Once Coringa is up and running maybe...

[tightfist] 12/6/2019 10:34

My sense is that the BoD are more focussed on expansion or further acquisitions than splashing any cash in dividends. Maybe we will get more feeling/direction at Friday's AGM.

[mick1909] 12/6/2019 10:04

With only 59 million shares in issue a nice dividend doesn't look unrealistic as most companies give back 25% of profits as dividends eg 10 million profit = 2.5 million dividend so 4.2p a share which is around 8% yield at this sp

[gregpeck7] 12/6/2019 10:00

Indeed loganair.. IT would appear the BOD have built a rock solid base... With the gold market seemingly now in transition to a higher trading range, just as a lot of Serabis tick boxes are getting checked off... Final loan payment, ore sorter online, Coringa not far away, all at just the right time.

[ppvn] 12/6/2019 09:56

Hey Loganair,

Maybe a div, but they have a whole lot more prospects to drill / license / turn into more mines!

Lot more positivity here now which is nice.

[millwallfan] 12/6/2019 09:55

Just got 2,723 at just under 54p with ii in my isa

[loganair] 12/6/2019 09:54

And if Serabi is able to reduce their ASIC by another US$50 will bring in a further $2mln most of which goes straight to the bottom line as profit.

I am hopeful in 2021 Serabi will start paying a dividend as they're forecast to be making an EPS of over 15p and if the gold price rises and able to continue to reduce their AISC then their EPS will be substantially higher.

[gregpeck7] 12/6/2019 09:49

Agree... If gold can hit 1400 plus, thats an extra 4 million USD in profit based on previous 1300 USD per ounce projection, and they are reducing the cost per ounce to extract... Perfect storm.. The gold price rising is literally transformational for SRB and its ridiculous mkt cap.

[ppvn] 12/6/2019 09:46

All this recent gold positivity is nice but imo an added bonus for Serabi. They were at this price before Anker got rid of their holding anyway!

Still more to come here I believe.

[gregpeck7] 12/6/2019 09:18

UK / EU / FED all will need to cut rates...

FED first... EU will follow and be first to go negative... Italian banks will look in deep trouble soon (even deeper than now) and the elephant in the room will be the German banks (DB looking at you)... Huge money printing.... QE4 in the US...

Gold over $2000

China now buying in volume. The manipulation of the price has to end...

Gold stocks at the bottom of the cycle.. Load up.