Cobus Loots, CEO of Pan African Resources, on delivering sector-leading returns for shareholders. Watch the video here.
I sold out my complete holding here yesterday as it is always the same, rises prior to news and events and then drops. No idea how far the drop will be, probably partly market dependent. In my mind they will need to raise cash as the growth continues to rise. Believe there is value here in the long term and will be back in at some point. It is a frustrating share.
@Joey, many thanks for your views and thought your summary was insightful "The only thing we can do is be Stoic and change our own expectations. For me that means assuming both Coho and EIA will continue to be delayed probably until 2023. I think expectations about SP recovery should be conservative. The only thing (IMO) that will move it towards the alleged intrinsic value is cash in the bank; the current fiasco means plenty of current holders will sell into strength (and who can blame them!) so I suspect Coho will be a disappointment to the many who think it will ignite the price. Only cash in the bank, and lots of it, can do that now."
I have been frustrated here seeing stagnation while other trading opportunities have delivered 15% plus in a few weeks. I agree with your view that there is no positive catalyst here in the short term and we are probably looking at 2023. I now have to decide whether to park this for 6 months or exit and seek other opportunities for the balance of 2022.
Many thanks to everyone for their views.
Hi Guys, have not been following all the developments here as closely as you have but sense and and agree the frustration. I think PB has done a great job overall and have had sympathy for the challenges which they have faced, but I am now starting to think that TXP needs to fundamentally review the challenges they have faced and take decisive action to ensure the structure and relationships exist to allow the company to prosper, in other words I don't have confidence any more in the way forward. As I understand it Coho will produce revenue in August, but there appear to be many steps that have to happen for that to take place and I am not sure we have full visibility of those steps or where those steps are. My major concern however is the EIA, I can't reconcile PB's comments in the video interview one month ago with what information came out since / his comments and the information that has come out seem completely at odds with each other. Am I reading the EIA situation right or do you have other views. My average is 68p and I have never been worried about this being too high but I am now seriously concerned and the lack of news and development is not adding to that feeling of uncertainty.
Great perspective DD77 and your comment about what you are interested to see nails it / and one tends to speculate to the downside when they didn't confirm the detail in the RNS this morning. Like you I have bought on the dips, but I have also sold on the peaks, would prefer to make this a long term hold but it is often one step forward and two steps back.
I will be back when the H1 results are coming out / kind of amazing with 22 days to go that they can't say anything about them today ? Sp now down 24% and looking like the sp will be under 4p again next week. There is a reason to be realistic here, although you view it as negative.
@chilting / unfortunately massive declines in revenue and gross margins means it is not a growth company lol And the outlook is not good as they give no outlook or forward guidance. I don't want info on new customers and applications, like all shareholders I want info on revenue and gross margin growth, all of which is sadly lacking
All jam tomorrow, results as expected but lays bare the revenue and gross margin collapse in 2021 which led to the cash raise. No forward guidance on revenue, gross margins or cash, more bs about addressable market sizes but no news about large ongoing orders, just trials and more new products without any substance. Would expect the share price to headback down below 5p while waiting for the next cash raise, all be it that might be late 2022, early 2023.
"Touchstone remains one of the outstandingly cheap stocks within this sector, after initial discoveries the market has taken its eye off the ball that should mean a substantial re-rating upwards from these levels." LoL He is right / but the rerating has already taken place and cut the share price in half over the last 6 months, follow the sentiment not the facts that are already known to everyone, including the market.
Hi John, That's the problem, the EIA is probably not far away but is already factored in, so in my mind no uplift when it happens and only downside if it is more delayed. With oil prices unlikely to push higher in H2 from where they are now and recession clouds on the horizon the macro position for a re/rate is poor, hence why I can't see anything above £1.20 by year end, but a dip further down in the next 4/8 weeks.
Given no new good news imminent, the muted response this morning and the potential for further delays and lack of clarity, it looks like this will drift down to the 70's again / prepare for another 10% capital reduction in the next month. Certainly anything above £1.20 this year is highly unlikely. This share does demand a lot of patience.
Obviously Paul's calendar has gone wonky, May is now end of June or maybe even beginning of July ?! As I said before, no good news so no material share price rise any time soon. No real change to risk position, juts no material bad news. What these guys are doing is not easy and we need to remember that, but there is room for improvement with regards to underselling and over achieving.
@ Lexion, I understand your comment as we all fee this is worth more, but given the 50% drop in the share price over the last 6 months and most of the positive news baked in, a 25% rise from here over the next 7 months is still quite ambitious
There is not "plenty of selling". In total £248k of shares traded, those showing as sells will not all be sales as the data is never accurate between sells and buys, only the total volume is accurate, pending any delayed trades of course. With a market cap of £172m, less than 0.15% of the shares being traded is a very small amount. Just the usual slippage given no good news expected, other than what is already forecast and built in. Sold £80k at 90p the other week and bought back in again today at 83p. May continue to drift down into the 70's and then will buy more as expect this to be above £1 by year end and the long term view is still good.
@Sturm, the argument for reinvestment at a later date is that by selling last Friday I avoided a 3.5% loss today and by reinvesting in GOG created a 6% gain / so 9.5% up in 1 full trading day. Sadly does not always work out so well, but that is exactly why I did sell last Friday, so I am now 9.5% better off than the patient TXP shareholders.
@happysparrow / your logic is sound and I agree with it, but the market and share price disagree with us both, hence why I am taking a different approach with so many other opportunities at present. It will come good, it's just a question of timing I think.
@happysparrow / I just don't see any new unkown events being able to drive the share price to double in the next 3 months, as Joey says cash in the bank and going into 2023 should see some type of rerate
I sold about 92k shares just before the close on Friday last week. My reasoning being the market has had more than enough time to review the share price and yet it hasn't / all the good news is forecasted so confirmation of the good news won't drive the share price higher and any delays will see it drop massively, unjust though that may be. This has been a trading stock for me over the last 12 months. I will buy back in between 70 and 84p over the next few months as I do believe we will be at 1.60 within 12 months. But at least I avoided the £2.5k hit since last Friday,