Member Info for EdwardSeaton

Any thoughts as to why this has the same market cap as Bisichi, another African mining company that made a profit of £22m in the first 6 months of 2022?

Your PE of 3.5 is way out of date - it made £21m in the first half of the year alone, and has a market cap of just £16m!

Bisichi PLC made a profit of £22m in the first half of 2022, and has a market cap of just £34m.

Oxford Nano made a loss of £30m in the first half of 2022, and has a market cap of £2200m.

It is all very well say 'potential', but is potential really better that actual?

It is like saying on the one hand, 'I'll sell you this £20 note for £5', and on the other, 'I'll give you £1000 for that £1 coin'.

Re the options, yes.

And that was obviously meant to be £15m, not £15...

It's rather hard to decide between LAS and BISI. LAS is technically even more insanely priced, but BISI is the main event.

I keep asking myself what share I would buy in preference to these two at the moment. It is sobering that Bisichi will have made another £15 profit (and cash) since the end of June, giving a profit YTD greater than market cap.

Having said that, I'm rather hoping they don't move up until next month, because I can't buy more for the next 3 weeks...

Any time up to 10 years.

robizm1001 - you think profit will be over £50m, but are worried that the market cap will fall lower than £30m?

PS They did take new options priced at 352p.

This is an incredibly easy company to read, and, without exceptional property events, it is basically a derivative of output and the price of coal.

Halfway through the second half of the year, we know that the price of coal has been substantially higher than in the first half.

We know they said output will be higher than the impaired level of H1.

Therefore, we know, with a great deal of confidence, that profit in H2 will be substantially higher than in H1.

I am expecting profit for 2022 to be between £50m and £60m. Tim knows far more than me and he may see it differently.

Yes, I accept that it is not entirely fair to compare different measures from different years. Neither is it fair to credit/chastise on the whims of the price of coal.

However, I don't think you can really get a chairman for much less than £100k, and with a chief executive, you pretty much get what you pay for.

We do have to accept that this is essentially a private company with some external shareholders along for the ride. Whilst it may be imperfect, there are significant upsides to the executive directors being so enormously invested in the company.

You are certainly correct that their communication does the share price no favours, and the same applies to LAS, whose interims report doesn't even mention the fact that it made £20m pre-tax in 6 months!

It is almost as if they want the sp to be restrained. However, sooner or later, the current monthly profit of £5m to £6m will have to be reflected. Soon we'll have a market cap less than cash.

For what it is worth, I can't find a more obviously undervalued share than LAS right now. £40m (net) of property, and 42% of Bisichi, all for £16m.

What are you saying you want?

Sir M Heller earned less than £100kvin 2021, A Heller a little under £1m.

This is a business that will turn over £100m this year, and make £50m plus.

What should they be paid?

If there is bad news, I'd love to know it, otherwise I'll keep buying at these crazy prices.

The remarkable thing for Bisichi is that Richards Bay API4 is currently $350 per ton, $75 above the price in the first 6 months. And second half volumes will be substantially higher.

From here, it is almost impossible that full year 22 won't be in excess of £50m, and may be substantially more.

Again if I am wrong, please correct me.

LAS announced interims last week.

First 6 months pre-tax profit of £20.3m

Net Assets £53m

Needless to say, current market cap is £16m.

There is a curiosity that these companies will soon have more net cash than market cap.

I think it is now all about the dividend.

2022 EPS do be far more than £1, Beza.

Monthly profit is currently c. £5m, so c. £50m for the full year. And there are only 11m shares out there.

No, far more than that in 2022, but unknown until the final is declared.

So. LAS just made 42% of £21m in H1 2022 (i.e. £8.8m in 6 months).

And it has £40m (net) of property assets.

And LAS has a market cap today of £17m.

Is there a more ridiculously cheap share on the market?

Yes, I know it seems rampy, but it is rather hard not to be.

Currently, I'd say LAS is the even more extreme bargain.

Current market cap is less than 2022 profit.

Mother of God...

What sort of lunatic has sold 20000 shares today?

This is a 'Buy £20 for £5' company.

For £21m, you could buy 42% of Bisichi, which has a maket cap of £45m and rapidly rising, and get £40m or property for free.

Sheer madness...

Right now, I'm quite glad they are not pumping their imminent good news. The numbers will tell their own story next week.