Member Info for ragnarlothbrok

Anything could happen with this one in the ST

Maybe they are thinking about making films for the big screen rather than just Amazon prime

Correction: Cash £58m, not £54m

Oh thanks Lindon just had a look, some good stuff on the site. Good to see they aren't wasting money on putting these out as an RNS either.

After that 10% spike and subsequent retrace is the SP continuing its slow grind north? Seems like a no brainer to me, The SP is well below its recent high of 150p yet if anything the fundamentals of the business have improved.

It seems to me, with the exception of that one anomaly (of which I can hardly remember now), that this is a well run company led by conservative management.

Revenue looks to be around 4% lower than consensus but given low margins the impact on earnings is negligible. However due to the impact of headwinds such as the Fortnite craze, Liberum lowered its EBITDA forecast by 9% and drops target to 50p but maintains its Buy. Similar story from Edison with a 7% drop and further drops in 19-20. Updated research note here maintaining its buy with a 76p price target:

https://www.edisoninvestmentresearch.com/?ACT=18&ID=21809&LANG=

Belong progressing, slowly, first larger site in London opened a couple of days ago ... Will need the full year release to make an assessment of growth in utilisation indicating whether Belong as a concept has legs and whether Game is still in line to return to profitability (and pay a dividend) in 2020.

Currently valued at below net cash indicates the market attributes nil value to either the retail or Belong businesses. SP has been declining relatively steadily now for 3 years and looks to be in the prestigious group of companies who have experienced 90% declines in SP.

I hold here motivated by a value/contrarian approach, and am willing to take a punt on whether Belong will be a success given the huge cash buffer likely to cushion from the downside. Cash £54m MCap £48m.

Starting to think the world would be a better place without Amazon

"Cineworld was down on reports from Bloomberg that Amazon is in the running to acquire Landmark Theaters, vaulting the e-commerce colossus into the brick-and-mortar cinema industry. Landmark operates more than 50 cinemas in 27 US markets, including high-profile locations in New York, Philadelphia, Chicago, Los Angeles and San Francisco".

Visitor, these shares were originally held for settling options under the ESOP. But they cancelled that in December so the full 4.8m will be cancelled, I assume when the Aus share buyback is complete.

Korg, I think these still have a way to go. Not so confident about the basket or outlook for resource stocks in general but I see plenty of upside on costs. And cash generation is epic!

Good week for SLP in a very choppy market, volume strong and a lot of chunky buys coming through. The PGM basket dipped below $1,000/oz but looks to close around around $1010/oz today. ZAR basket is at multi year highs today, nearly 15,000/oz.

More good news, thanks for posting. Good to see contracts rolling on.

Whats the source of this? Can't see an RNS

Volatile indeed. Inherent characteristic of the last stage of the bull market. Pd up 7.5% right now. Rh ticked up twice over the last week couple of days as well Visitor.... 2385 now. Steady and stealthy

This is the value of shares the CFO bought today. That's awfully tame. Doesn't scream 'I believe in the company'

FLX down 7.5% and didn't even make it onto the leaderboard...

Yikes just saw the basket! Pd down 5%. Pt not far behind. USD basket below $1000/oz but the ZAR basket is not far off the peak. Around 60% of EBITDA is hedged by the correlation of the rand to Pt. Sibanye Stillwater US operations will be getting punished by this fall today.

Yeah Visitor I know what you mean. Its been all over the place the last month, especially amongst the small caps. Small cap miners have been right in the cross fire. The market hasn't been able to absorb all the selling in the quiet month of August and I think that a lot of IIs and ETFs are reducing their exposure to various markets. USD strength is squeezing the entire market like a constrictor.

I'm also tempted to sell a few but volumes and average trade size are well up on usual and my gut tells me that there are buy orders filling in the background. You can sell £25k at full bid but can hardly buy a penny for less than 20p. You know what they say... run your winners

I think that the Israeli hedge fund sold out recently which suppressed the SP but looks like Fidelity mopped all those up and have already made some good gains since then.

I'd be very surprised at some sort of leak. The CEO and Chairman ooze integrity, I don't think its their style.

Either way there is strong demand for SLP this week, seems like the MMs are having trouble keeping up with demand. Not far off 20p and that first bag for you!!

Has there been a small recovery? We've been at 7.5, give or take, for forever now.

ZAR decline hasn't fully been reflected in the price in my view. The sector is very unloved, theres nowhere to hide

Platinum has virtually no support right now, it crashed through $800/oz overnight. Even uranium has put on 20-30% off its low. Pt is at currently at multi year lows.

Visitor like you say the lower price and longer term fundamentals will discourage any sort of investment.and bring some of the producers more to their knees, Impala has the highest costs of the remaining large independent producers and is the most likely to follow the Aquarius route of breakup and mothballing. Their downstream business will survive but the mining operation is marginal, I don't think their recent announcement is enough for its own survival.

Pt is the biggest export earner for SA and the declining price will weight heavy on an already vulnerable rand. Given SA produces 75% of the world's Pt I wonder if the govt will step in with a strategic investment like Russia with diamonds, Kaz with uranium to take some ounces off the table and support prices and thus employment. Or will they continue to fiddle, occupying themselves with the political power struggle?

No denying that this was an awful result today, worse than what I was expecting. Although by now last year is ancient history, first I will reflect on the disappointing items from today's result:

Cash of 900k at March and only hit break even at EBITDA level in July (before working capital and capitalised development). That is 3 months of cash burn, at maybe £200k per month. Can't be much cash left. A really useful number would have been the unaudited cash number at July. Today's drop is indicative of what the market thinks the likelihood of a capital raising is in the near future: pretty high.

What happened to the pipeline of contracts announced at March? Other organisations have been open about government contracts taking longer to win in the current environment.

800k increase in admin costs versus 300k increase in revenue...? You should be reinvesting past revenue, not pipeline revenue. They have built a platform for growth now they need to deliver some punchy top line growth numbers.

I agree with comments below about the outlook statement, it says to me cross your fingers and hope that we win some new contracts.

Hey shareminator, The IC writer seems to have a very big following, I'm guessing a lot of people will follow his tips pretty closely which drove the spike today.

Although Pt has been tanking, at today's basket it is only 50% of revenue (from a peak of 75%), the YTD USD basket of 1022 is only $50 lower than the 2017 average price but the ZAR price of 14600 is at around multi year highs. As the writer says the current margin of $500/oz means this company can make money and return cash to shareholders at any point in the cycle. And rhodium is now 30% of revenue and it seems like people are getting excited about another potential 2007/8 $10,000/oz spike.

Tomorrow will be interesting to see how the dust settles and if the rise has legs or is just a passing fad.

Thanks for posting proctalgia. This guy seems to be very influential in driving up a SP, like a self fulfilling prophecy.

On a 2019 forecast rather than historic earnings the P/E is even lower and I believe the cash balance will be much higher by year end.

https://www.marketscreener.com/DIVERSIFIED-GAS-OIL-PLC-33943281/financials/

Mulder indeed a lower fx rate helps the SA miners through lower cash costs, which I believe is why they are mostly up today, even though global miners are mostly well down (Amplats +3%, Sibanye +3%, DRD Gold +6%).

The discrepancy could be down to a number of factors, liquidity, spread, the difference in tax rates or transaction costs like stamp duty etc. It could reflect the relative trading volumes also. I don't know anything about SA share market although I can see that PAF volumes are much lower on the JSE than the LSE but the spread looks lower as well.

It seems to be company specific given that the share price of Mondi (which is also dual listed in SA/UK) is equivalent between the two markets.