https://www.youtube.com/watch?v=YtNUIAnmZPc
13 mins interview - covers recent results and future prospects
Having bought into CAML a few months ago & seen a fall in the SP this interview is very encouraging - thanks Nick for sharing.
About the Author
Nickwild
5 comments
Square Mile Junky
Very useful as the SASA asset is often used in comparisons with EUZ Toral asset which keeps increasing in size. The 30%-50% of free cash flow s dividends is encouraging as is the Q4 potential for acquisition activity. Thanks for sharing.
Zoiberg
He can't disguise the fact the the sp is directly linked to the price of copper lead and zinc. These shares work in an upswing in the commodity cycle because the increase in price goes straight to the bottom line. He uses phrases such as they have 'survived' and ' remained profitable' during previous downturns. Not for me.
JollyBiologist
Yes, but isn't that the attraction, the low cost extraction method for copper keeps it profitable in the downturn, whilst in the background the copper supply gets tighter and tighter? (see e.g. https://seekingalpha.com/article/4162110-copper-fundamental-outlook-buy-dips). This is one of my largest holdings because it pays generous dividends whilst waiting for the inevitable crunch.
nickwild
CAML is a very low cost zinc and copper producer (bottom quartile) and pays an excellent divi. It is therefore relatively protected in downturns and a good play on any commodities upturn and on dividend income. I think it is a good long term investment as part of a balanced portfolio. The management have cash ($40M) which they may use to buy another mining resource if a low cost safe environment asset can be identified. If not the possibility of capital return to shareholders is another attraction.
