How severe can a title be?Checklist and a company name does not feel so very fun.We jump it forward.The journey my short positions continues, this time it's time for Lucara.A company that I have been inside on and off since the relaunch in November.
Facts and Background
Company: Lucara Diamond Corp.
List: Mid cap
Industry: Materials
What makes the company: Are diamonds in the mine, Botswana (Africa).Then auctioning finds out periodically.Also look for other prospects.Chairman Lukas Lundin.
Analysis Course: 13:40
Fundamental
P / E ratio: 14.4
5-year P / E average (high): -
5-year P / E average (low): -
Yield: 1.5-2%
Vesting Stability (5 years):No.It was noted in 2011. Passed a profit since Q4 2012.
Technical
MA:All in the right order, rate a bit above MA20
Support:No clear support within.MA20 is about 10% behind, further down MA50.
Resistance:ATH
RSI:88
Climate Exchange, omxtrend positive: A positive but short-term overbought
Other
Insider Holdings:Unclear how much but Lundin is on board.
Last Report:Q1 profits fell a bit but still no danger.
Next report:Q2 2014-06-30
Latest news:List Change at Mid cap at the end of May.Found diamonds greater than 100 carats in the spring, to be sold in July.Auction in mid-May went better than expected.
Comment:Fundamentally it looks really good for Lucara, liabilities are non-existent and they are constantly making new discoveries.A big plus is that you are looking for more mines which can increase the life of the company.The yield is not huge but it is there nonetheless.Have had a little hard to get a handle on it, but it apparently was traded without dividend earlier this week, June 4 (?).The dividend will be in late June.There has been new triggers throughout the spring, which run up the course a lot.Some suggest that it may continue up, the next trigger, the report is June 30 and an auction later on.
Technically the stock is overbought.The course has cracked the ceiling in the positive trend channel and the RSI is at 88. However much talking as I said to the continuing upward.Change of list to Mid Cap does now also share available funds, it should be very positive.In a couple of years from now may be the idea to buy.The growth is definitely there, the risk is not very great even though it is a diamond company because the debts are non-existent.The question is whether the situation right now is the best or if it might be wise to wait a few days / weeks?