RE:new in hereSo here is the long story short:
The company had a good asset base, blew it's cash on a disaster of a project in Madagascar.
Following that, they blew the remaining cash on one oil exploration play. (Yes, it's a nickel company, go figure).
Now the company has one asset, but it hasn't adjusted it's corporate structure accordingly. It pays between 5-10% of it's market cap in executive compensation. It's CEO gets paid equivilant to that of companies like Suncor.
So the cash flow from it's one asset flows as follows: 1) To service it's executive compensation then 2) Service debt 3) inefficiently allocate capital..then 4) nothing, there is nothing left for shareholders.
The only hope for this stock is for nickel prices to sky rocket. So if you want to gamble on that, then this is your play.
If you want to invest in a company and have it grow over the long term, this is not your company.