Argo Blockchain (ARB) is a company that I wrote about several times a couple of years back, but more recently have left to Tom Winnifrith to write about the numerous red flags that he has spotted there.
The new ‘windfall’ tax on UK oil and gas producers has been all over the news this week, and whilst many of the public seem to be celebrating the fact that these ‘evil’ companies and their investors are going to take a hit, I’m not so sure the new rules are quite so great.
The share price of 888 Holdings (888) has remained pretty weak during the completion of its acquisition of William Hill, and as a result of revenue in the final quarter of 2021 showing a substantial fall.
It might be a couple of days before Good Friday but there is a lot going on in global markets. After all yesterday American consumer price index numbers were at a 41 year high, whilst today’s equivalent numbers in the UK were ‘only’ at a 30 year high. Of course, this is a big worry for many people but - as anyone who has been working for 20 plus years knows very well - you should never ignore the threat of inflation (unless you anticipate negligible economic growth for the rest of the 2020s). And all this chat brings me onto numbers from Tesco (TSCO) this morning which have helped push its shares down 5%…
Online fashion retailer Boohoo (BOO) has performed terribly for anyone who has been invested over the past year or so and has seen its share price drop by around 75% during that time.
The last time I wrote about Omega Diagnostics (ODX) was back in June when I got slated for suggesting that the company had missed the boat when it came to Covid testing, and that its Department of Health and Social Care contract wasn’t worth the headline figure you so often saw people banging on about!
Nostra Terra Oil and Gas (NTOG) is one of those companies that has always seemed to be popular with private investors over the years, but it is hard to see why as all it has done during that time is rack up substantial losses for them.
Previously writing on environmental and life science company DeepVerge (DVRG), in March with the shares at 32.5p I noted the balance sheet and concluded the businesses’ track record and an already more than £56 million market cap saw me continue to avoid. It has since raised £10 million of new equity at 30p per share and now announced full-year results (at a 5:28pm, hmmm!). So what now?…
I’ve recently found myself wondering how many of these ‘Covid stocks’ have missed the boat, as many of them still aren’t producing any significant amounts of revenue, yet often their markets caps are comparatively very high.
An announcement from System1 Group (SYS1) commences that this “Advertising Effectiveness Agency, is today providing a Trading Update for its financial year to the end of March 2021 ahead of its results announcement on 29 June 2021”. This includes “sales picked up faster than adjusted operating costs” – and the shares have currently responded to 240p, 26% higher. Justified?…
Atalaya Mining (ATYM) has been a favourite of mine for a few years now, but seems to be one of those shares which you rarely see mentioned on social media and the bulletin boards. It was formerly EMED. Ring a bell?
When it comes to Alaskan oil explorer 88 Energy (88E) the hype around its drills has always far outweighed the actual results that it has managed to achieve, as can clearly be seen if you look back at a chart over the past five years or so and the timing of the big gap downs in the share price.
A month or so back I covered an oil company called Pharos Energy (PHAR) as a strong buy and gave my opinion that it was undervalued, and the update today reinforces that view even more.
Following recent Nalunaq project development delay disappointment, AEX Gold (AEXG) has noted progress in reviewing the development plan and of exploration work.
It’s not often that I take much notice of the smallest mining companies at the lower end of AIM, but every now and again one gets my attention as being worthy of taking a look at if you want to take a bit of a punt on shares in something more speculative than the popular producers.
Hello, Share Scoopers. My long-standing investment in RSA Insurance Group (RSA) has seen some nasty disappointments over the years. There was that time when a big take-over offer for the giant insurer came to naught, wiping out a fistful of paper profits. And now the company is involved in another potential merger. The shares have jumped accordingly, but my dilemma is whether to sell in case the present offer falls through.
Just over a year ago I covered a ‘mining’ share as a speculative buy, and it was very different to the natural resources companies that I normally cover, as it was mining Bitcoin rather than any metal or other commodity.
A trading update from Immotion (IMMO) commencing that this “immersive entertainment group, is pleased to update the market on current trading” sees the shares 20% higher, above 4p. So what’s the detail?
Revolution Bars Group (RBG) has announced full-year results and, in line with the heroic Tim Martin of J D Wetherspoon, hit out at “nothing short of scandalous” government actions…
Self-styled “a world leader in narrowband radio frequency mesh networks” CyanConnode (CYAN) has announced results for its half-year ended 30th September 2020 and that “the board is very encouraged by the success of all CyanConnode’s deployments, and is especially pleased to see the progress being made against contracts in India and Thailand during the period” – and the shares have currently responded higher, to 5.05p. However, with the shares above 6p, I previously questioned that the company argues loan “for working capital to fund growth”, what about for keeping the lights on? What do the results now show?…
This year a lot of private investors seem to have been focussing on any stocks even loosely associated with Covid, plus those in the tech sector, and more recently mining has also seen a resurgence, gold in particular, but oil and gas has very much remained unloved and out of favour. That gives you a great opportunity and this is no fisherman’s tale…
Back in August I wrote about Shanta Gold (SHG) as being worth a look at around the 16p level, and with a chance of a good profit over the coming months.
Just because a company has traded at much higher share price levels it doesn’t mean that it will do so again, and that is particularly true of oil companies at the moment.
Banking shares aren’t exactly in favour at the moment, with concerns over the lasting impact that Covid-19 is going to have on the economy in general, and as if that wasn’t enough, any banks wirth major dealings in Hong Kong have suffered a double whammy due to the escalation of the situation with China.
Pest control and hygiene company, Rentokil Initial (RTO), wasn’t looking particularly strong even prior to the arrival of Covid-19 and was trading at a very racey valuation, in my opinion.
At the start of this year a small AIM outift called Pembridge Resources (PERE) was getting a lot of attention and there were all sorts of predictions being made as to how high the market cap should be based on its share of a copper mining operation.
I’ve always gone on the basis that if something doesn’t feel quite right when it comes to non-binding deals being announced, then at the very least it is worth questioning the likelihood of completion. Of course, that isn’t always the case and some non-binding letters of intent, or memorandums of understanding, do in fact proceed as outlined, but my first thoughts when I saw today’s news from Zenith Energy (ZEN) was that it looked very ‘spoofy’...
With the current state of the markets there isn’t a lot that I would exactly be rushing to buy at the moment, as I think that even the good companies that have strong enough balance sheets to survive relatively unscathed, could well go a fair bit lower yet.
Assuming that you aren’t just going to move entirely to cash and wait for the markets to bottom and show signs of a rebound before buying anything, there are still some options for shares to hold whilst you ride out the storm.
This week private investors seem to be very excited about shares in a company called 7digital (7DIG) and the share price has rocketed, but at this stage I’m finding it hard to see how a rise of this magnitude is justified or sustainable.
Pembridge Resources (PERE) today issued a production update for the latest quarter up to the end of 2019, and based on the figures contained within that, many are struggling to understand why the company isn’t valued more highly.
At first glance Argo Blockchain (ARB) seems to be very different to the type of companies that I normally cover within the natural resources sector, but the actual economics of the business isn’t all that dissimilar.
My views on Block Energy (BLOE) in recent months haven’t exactly been popular amongst shareholders, but unfortunately much of what I feared in relation its operations is now playing out and I feel that investors have been deceived by the company. I have been utterly vindicated. It will get worse for thise who ignore my latest warning.
The share price of Bahamas Petroleum (BPC) almost doubled following an announcement of progress on its ambitions to drill an exploration well next year, but is such a big rise really justified? Today there is a further ramptastic "technical update", world class prospect, yadda, yadda, yadda.
There was much excitement back in April when an Arab sheikh took a stake in ADM Energy (ADME), so it must have come as a big shock to investors last week when news broke that he had sold all of his shares and had resigned as the company president.
Having written a piece just three weeks ago about Highlands Natural Resources (HNR) and the likelihood of it needing more cash very soon, todays news of a placing didn’t really come as much of a surprise to me.
Companies which have undergone several name changes and have never managed to achieve anything in their previous incarnations always raise red flags for me, and I suspect that Power Metal Resources (POW) will follow a similar trend to many others that fall into this category.
When the share price of a small company suddenly rises by more than 240% on no apparent news I am always left wondering who on earth is actually buying after such a huge rise. Often those who are end up getting severely stung, especially when the company itself issues a statement saying that it notes the share price rise and clarifies the current situation and that there is no current reason for it, and that is exactly what seems to be playing out with MySale Group (MYSL)...
Back in March I covered Highlands Natural Resources (HNR) and its announcement that it was diversifying into cannabis, as well as highlighting concerns over the high level of costs associated with running the business.
After pontificating on the position of Lekoil (LEK) prior to the results, it merits a review now that the results have been issued. So how did I do with my crystal ball, and where does it leave the company?
A tiny AIM investment company called Agronomics (ANIC) suddenly seems to have become very popular, but I think you’d have to be mad to be paying the current share price. If we look at it under its previous name of Port Erin Biopharma Investments (PEBI), before the recent change to Agronomics, it immediately becomes apparent that its main area of investments is in the pharmaceutical sector, with several listed and non-listed holdings...
Fertiliser producer Harvest Minerals (HMI) seems to have been getting mentioned quite a bit recently and its shares are sitting at around a 12 month low, which probably means that it is going to get pushed hard in the near future, but is it a company that you should be considering taking a position in?
Avesoro Resources (ASO) is a good example of what can happen to a share where there is a forced seller and generally low liquidity in the trading of the shares.
If you want exposure to copper and are looking to invest in an earlier stage outfit that is already in production, then your choice of UK listed companies is actually fairly limited. The majority are either still at the exploration/development phase, or are large FTSE listed miners, and in many cases copper is just one of many metals that are being produced, with the odd exception...
I’ve been a fan of Central Asia Metals (CAML) for some time now, and although the share price isn’t much higher currently, I still see it ultimately growing into a bigger company.
Smaller companies often offer promises of imminent revenue streams which cause upward spikes in the share price, but for any longer term appreciation in value they need to actually deliver on the expectations of their shareholders. Currently that would definitely seem to be the case with Eqtec (EQT), which I have been bearish on since the share price was between 1.26p and up to 1.57p, and private investors in this gasification to energy company were quick to point out how wrong I was when there was a brief spike in the share price shortly after my initial coverage at the lower end of that range. So, it has really come as much of a surprise to me that the share price has steadily declined over the few months since then and it now trades at around the 0.84p level to buy...
Coro Energy (CORO) was my pick this year during the Dragon’s Den session I was involved in at the UK Investor Show, and I also hold a small position here myself from around the current share price. Like many smaller companies in the oil and gas sector, it is an investment that I class as being speculative, hence not risking huge amounts of money in it at this stage – but there is also a lot of potential upside...
I believe a good buying opportunity is currently presenting itself in the shares of Avesoro Resources (ASO) and although it may go lower in the short term, I can see decent risk versus reward here for at least a medium term trade.
The market has been slaughtering even the larger companies over any sort of disappointing results recently, but for me that further strengthens the argument to buy shares in Centamin (CEY).
Anglo African Oil and Gas (AAOG) has been hugely popular with private investors over the past few months and has seen big fluctuations in its share price as various pieces of news landed during its recent drill – including a placing to raise more money which Tom Winnifrith exclusively revealed here before it took place.
All that Edenville Energy (EDL) seems to have managed to achieve over the years is to burn through cash at a rate of knots whilst failing to deliver anything for shareholders other than a steady and prolonged decrease in the share price. I can remember even back in 2010/11 when this company was being promoted as having huge potential, along with all the other rubbish that you tend to hear spouted about these small AIM resource outfits across the bulletin boards...
After a strong performance during the first half of 2018, copper has been weak and is currently trading at close to its lowest levels since mid-2017. Having hit peaks of more than $7,200/t last June it is now around the $6,000/t area, and although an improvement on the $5,800/t level it started the year at, I would hardly call this slight resurgence a proper bounce just yet. But I do think that is going to come as the metal is too important to stay at these levels for long, especially in light of the fact that many analysts are forecasting a supply deficit in the coming years due to the increasing use of the metal – as I’ve mentioned in the past, electric vehicles will be a factor and use far more wiring than the cars that are currently in common use...
Software business Imaginatik (IMTK) announced this morning that it had disposed of all of its assets and has sold its business, and pre-market open I saw a lot of people saying what great news it was.
Back in early December I wrote a piece warning people not to get taken in by RNS-Reach announcements, and criticising the way that some companies seemed to use the system to try to attract investors and pump their share price, by releasing information that isn’t considered to be price sensitive, but making out that it is some sort of big deal.
I often find myself questioning the purpose of RNS Reach announcements for companies listed on the AIM market, as they can cause severe volatility in the share price and this is usually far more than is justified by the news itself.
Premier Oil (PMO) has always been highly geared towards movements in the oil price, so it is hardly surprising that its share price has been dropping recently.
Centamin (CEY) has had a bad run of form of late, but I believe that this is just a temporary blip in its fortunes and it presents a fantastic buying opportunity for the future.
I would imagine that most Lionsgold (LION) holders were somewhat less than impressed when news came at the end of last week that its shares were being cancelled.
I came in for a fair bit of criticism when I covered Indian fashion retailer Koovs (KOOV) negatively and suggested it was a sell or avoid back at the start of July. Since then the share price has pretty much halved from the 20p level that it was trading at, so I feel that my criticism of the company was justified, and my view has been vindicated – hopefully some of you who have read my articles and were holding at the time also saved yourselves from seeing the value of your investment halve. A number of people have been asking me what my view is of the company now that the share price has dropped back to around 10.6p to buy, so I felt that it was time to take another look.
AIM-listed Turkish gold producer Ariana (AAU) released the quarterly update of its Red Rabbit joint-venture at Kiziltepe a week and a half ago. We had already been told that gold production had shot the lights out, but the update filled in the detail and it was all good. Meanwhile the gold price has been sliding and Turkey is in some considerable bother which is not good. But on balance I reckon the shares are still a buy.
When Bahamas Petroleum (BPC) announced a confidentiality exclusivity agreement back in May I expressed scepticism as to whether that would actually result in any sort of farm-out deal ultimately being concluded.
It isn’t unusual for tech stocks to trade at a very large premium to the actual fundamentals in the early days as value is largely based upon the growth potential, but at some point they have to start showing that they are going to be able to justify the valuation being placed upon them.
When a sector is showing weakness it can be tempting to sell up and move into something else, but often if you are in for the longer term then this is actually the time to be adding to your investment.
Centamin (CEY) has taken a big hit to its share price over the past week or so and has seen getting on for £400 million wiped off of the value of the company.
The lack of research by many private investors never ceases to amaze me, especially as they are often putting their hard-earned money into these companies!
West African gold miner Avesoro Resources (ASO) hadn’t been performing as well as investors had hoped since it started production, but things finally seem to all be coming together now.
One of ShareProphets regular readers, Wildrides, has asked me to take a look at Weatherly International (WTI), and as I do follow the mining sector quite closely, I am happy to give my thoughts on the company.
Jersey Oil and Gas (JOG) hasn’t had much luck in the past, having managed to get a decent sized field into production it was subsequently hammered by the collapse in the oil price.
Despite changing its name from blur Group (BLUR) to Maistro (MAIS) at the start of the year, it is hard to see much of a change when it comes to the fortunes of the company. Basically, it offers businesses a platform for the procurement of business services, including marketing and human resources, and on its website it boasts that it has been in the business for over a decade. With that in mind, it doesn’t exactly look great that the company is still racking up heavy losses each year, and looks like it is going to continue doing so for the foreseeable future.
It isn’t often that I look at shares in a FTSE100 company and can easily see a very high chance of a 25% or more gain in share price over the coming months.
Westminster Group (WSG) is a company which I once had high hopes for, but in the past it has always been one which has promised the earth but has failed to deliver much of any real substance.
Canadian Overseas Petroleum (COPL) is a company which I have been pretty negative on in recent times, and certainly nothing has happened to change my view on it, certainly in the shorter term.
As an investor who has always been a big fan of oil and gas plays in general it is difficult not to focus on that particular sector at the moment, given the recovery that we have been seeing there. Some people may argue that the move has already happened and that oil prices might not go much above the $64 level that we have hit this week, and could well finish the year a fair bit lower – certainly somewhere in the high 50s wouldn’t surprise me, although a lot will revolve around the outcome of the OPEC meeting at the end of the month. Whilst that may be the case with the commodity itself, when it comes to equities many have lagged this commodity correction, and given the share price action of some of them, you could be forgiven for thinking that oil was still down in the doldrums and completely unloved.
If I’m being completely honest then I have to admit that I was somewhat annoyed when an RNS from Central Asia Metals (CAML) initially landed to say that trading in the shares had been temporarily suspended pending the acquisition of a large asset. That annoyance though was largely driven by a shorter term view, as shares in the company had been doing very well and the price was increasing steadily in the run up to the financial results, which were expected to be good and with yet another high yielding dividend to be paid. Alongside that copper was flying and had just topped the $3.10/lb level.
Unfortunately a lot of early stage media and technology companies can look to have huge potential but then fail to really live up to expectations, and I think that has definitely been the case with Gfinity (GFIN).
There are times when a large background seller can present a good buying opportunity, and an institutional investor offloading shares isn’t always a sign that the company is failing to perform.
After my mea culpa of June 20th we have had further news. It has taken a bit of time to digest, but overall it looks positive to me, if rather laced with jam-tomorrow. With the share price finally off its low point of just 1.25p, let’s look through the detail.
Kaz Minerals (KAZ) is a great example of the extent that commodity prices can effect larger miners, and the recovery in copper prices has seen the share price trading at multiples of where it was just 18 months ago.
Sylvania Platinum (SLP) is a company which I’ve followed for quite some time and hold shares in myself - and I view today’s unexpected acquisition news as being positive for the company moving forwards.
As long as there is nothing fundamentally wrong with the company itself, then with any leveraged play on commodity prices, which is basically what many producers are, the time to be buying is when the price of the underlying commodity is near the bottom of a cycle. It is usually hard to judge exactly where the bottom is going to be but, when it comes to platinum, I think we are nearing that area.
A 10:15am “Trading Update” announcement from restaurant group Comptoir (COM), which IPO’d at 50p per share on AIM less than a year ago. An unusual time for a trading update + a restaurant group, with all the pressures facing that sector currently = I think I can guess much of how the announcement is going to go…
Orosur Mining (OMI) certainly isn’t amongst the more popular resource stocks on AIM and trading volumes are often verging on non-existent, but I believe that many are missing an opportunity here as they go chasing rainbows with companies that are years away from production, assuming they ever actually get to that stage!
Digital Barriers (DGB) has been like so many other AIM companies, in that it has promised a lot but has failed to deliver in the way that investors expected it to, and it now looks like the last chance for the company to live up to expectations.
I just ask a simple question about AIM-listed CloudTag (CTAG) and this pesky financing deal with L1 involving convertible loan notes and associated conversion warrants. Something caught my eye in yesterday’s RNSs from the company, in which it announced yet another loan conversion – and the first (I expect of a great many) warrant exercises by L1.
Hello Share Spaders. Recently, I opined on this superlative website that BT had been over-sold in the last 12 months and was possibly cruising for a new target of 500p a throw, rather than the present sad sub-400p share price. But I’m not so confident over its rival Vodafone (VOD).
“fastjet (FJET), the low-cost African airline, is pleased to announce that… it has successfully placed 143,449,794 new ordinary shares at a price of 16.3 pence per share… If the placing does not proceed and complete, and in the absence of the group being able to successfully agree or implement any alternative funding, the directors would seek to commence a process of placing the group into administration”. Wait a minute, just in August the company raised “total aggregate gross proceeds of £15.2 million… all at 50 pence per new ordinary share”. What’s gone on?
Sports nutrition company Science in Sport (SIS) has made a “Pre-Close Trading Update” announcement commencing that “sales increased 30% to £12.24 million in the 12 months to 31 December 2016”. Sounds promising, what about profitability?…
After last week’s “cleansing” RNS which saw the previous suspension finally lifted, you would have thought that there were no further little surprises to come from AIM-listed CloudTag (CTAG). So imagine my surprise at reading yesterday’s RNS announcing the drawdown of the latest lump of cash from L1: just where did £50,000 of expenses come from?
On the back of an August AGM Statement from Castings (CGS) with the shares at circa 428p, I noted there looking an increased risk of short-term share price pain. The following updates on the back of the company’s Half-year Report, with the shares currently sub 400p…
Shares in Richoux, Dean's Diner and Villagio restaurant group, Richoux (RIC) are currently soaring more than 40%, to above 30p (capitalising the company at approaching £28 million), on the back of a “Board Change” announcement…
Following an announcement of the appointment of a new CFO earlier this week, yesterday saw provider of cash-burning solutions, sorry, of “enterprise-ready, non-stop software solutions that enable globally distributed organizations to meet today's data challenges of secure storage, scalability and continuous availability”, WANdisco (WAND) make a further “Directorate Change” announcement…
Following an absolutely ludicrous results statement previously, Nature Group (NGR) is “pleased to announce the unaudited interim results for the six months to 30 June 2016”. The shares are currently approaching 8% lower, at 4.375p, in response. Is the company at it again? …
The farce continues apace with AIM-listed Malaysia and China play Galasys (GLS). This morning we were served up with a rum’n’coke for breakfast in the form of a trading statement. On the one hand there was plenty of blather about numerous and significant new contracts being won, but on the other there are ongoing legal actions in the UK, Jersey and Malaysia to sort out who actually runs the company and we are warned that the costs could put a big dent in the bottom line.
I indicated in part 1 of my results analysis that there were a few bits and bobs in the Tern (TERN) Annual Report which had not made in into the RNS version of the FY15 results. Often it pays, when studying a company’s numbers, to begin with the notes to the accounts and then work backwards from there. And so here are a few things which caught my eye.