PGD mentioned in the Globe and MailArticle in today's Globe and Mail mentions PGD:
https://www.theglobeandmail.com/globe-investor/investment-ideas/features/eye-on-equities/assay-results-suggest-cameco-should-hike-hathor-bid-analyst/article2174689/
This week’s selloff in shares of Peregrine Diamonds Ltd. presents a buying opportunity, maintains Desjardins Securities Inc. analyst Brian Christie. Its asset base remains “very prospective” and upcoming exploration results at its diamond plays should support its progress from a promising exploration play to a development company, he said. “We spoke with management, which outlined a solid pipeline of news for the coming months.”
Upside: Mr. Christie reiterated his “buy” rating and $3 price target.
Also, I have to say that I think that some people here are placing too much fault on Kaiser. He has a fiduciary responsibility to his clients to call it as he sees it, and I believe that he takes this responsibility seriously. Let's call this stock what it is: a speculative diamond play, with an emphasis on speculative. Kaiser has just acknowledged that the speculative upside to this company has diminished somewhat due to this season's lacklustre exploration, and it's hard to argue with that point.
One could say "well, there's always next year" - and I agree that this is true. However, investors are only going to give them the benefit of the doubt for "next year" so many times before they balk at financings. PGD management knows this and is taking the best course of action, which is to try and divert resources from greenfield exploration into proving up the resources that they have found to date. If they can prove up the resources, then they can tap the market for more exploration money.
The main problem is that none of the current kimberlites, as of right now, look to be world-class deposits on the scale needed to achieve dream targets/NPVs of $1bn+. Maybe, after bulk sampling, we will find out differently. But the basic probability of such a dream target has diminished somewhat, and you are seeing that reflected in the share price. This is what Kaiser has tried to convey in his note, and I agree with him.
I really do hope that this company succeeds at beating the odds implied in the market right now. I've been following this story closely for about 2 years and was a shareholder for most of that time... I'm definitely a big cheerleader for PGD. But there's a difference between a good company and a good stock, and right now this is not a good stock IMO. (Then again, in this market, there's not really such thing as a good stock.)