The LONMIN share price thread

Bank of America Merrill Lynch says: “We think the operating trends are encouraging ... and (Lonmin) is highly geared to a recovery in metal prices.”

Deutsche Bank is also calling Lonmin as a “buy”, assuming the rights offer goes ahead, because of its large ore reserves and the fact that it’s so much cheaper than its rivals.

But Deutsche says this comes with a “healthy warning that the business is marginal under spot rand prices and is a call on higher rand PGM prices”.

Once platinum prices turn, says Deutsche, a recapitalised Lonmin is leveraged to benefit from higher platinum prices.

Provided Lonmin can stay alive that long, of course.
 
Thor187 said:
Bank of America Merrill Lynch says: “We think the operating trends are encouraging ... and (Lonmin) is highly geared to a recovery in metal prices.”

Deutsche Bank is also calling Lonmin as a “buy”, assuming the rights offer goes ahead, because of its large ore reserves and the fact that it’s so much cheaper than its rivals.

But Deutsche says this comes with a “healthy warning that the business is marginal under spot rand prices and is a call on higher rand PGM prices”.

Once platinum prices turn, says Deutsche, a recapitalised Lonmin is leveraged to benefit from higher platinum prices.

Provided Lonmin can stay alive that long, of course.
Click to expand...

Its all dependent on the playinum prics and the labour issue
 
The problem for Lonmin would be in their ability to downsize something the unions are likely to oppose vigorously.
 
Thor187 said:
Bank of America Merrill Lynch says: “We think the operating trends are encouraging ... and (Lonmin) is highly geared to a recovery in metal prices.”

Deutsche Bank is also calling Lonmin as a “buy”, assuming the rights offer goes ahead, because of its large ore reserves and the fact that it’s so much cheaper than its rivals.

But Deutsche says this comes with a “healthy warning that the business is marginal under spot rand prices and is a call on higher rand PGM prices”.

Once platinum prices turn, says Deutsche, a recapitalised Lonmin is leveraged to benefit from higher platinum prices.

Provided Lonmin can stay alive that long, of course.
Click to expand...

Hi Thor,

Please give source?
 
R13... said:
The problem for Lonmin would be in their ability to downsize something the unions are likely to oppose vigorously.
Click to expand...

Of course they will... but it will ultimately be a choice of downsize, or close the company entirely...

I know the Unions won't understand that simple logic but hey.
 
Well Lonmin was trading at almost R61 just before the whole disaster in 2012.

My maths isn't all that great, but that's like a 20000% fall to it's current level at 0.30c ?
 
I got in at 30c per share. Tried to time it to get 29c. Oh well. Now to wait a few years.
 
marco79 said:
R1200. 4 bottles of Jameson less this festive season :(
Click to expand...

Ahh, I'm with you buddy, have 5000 shares, but if this gamble pays of them we'll have a lot more Jamesons for the next festive season
 
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