CBH - CBH Resources

[RichKid]

From a TA point of view this appears to be a triangle but it could become a flag too. Some selling on Wednesday on notable/high volume so let's see what happens today, general pattern is accumulation at these lower levels, some supply left at near highs. Maybe people are nervous about the report and taking profits....or maybe they're just taking profits! I first heard of this as a Fat prophets pick but have to admit I didn't follow it too closely although Brer has been keeping an eye on it for awhile. Looks good now if it can breakout to new highs.

 

[YOUNG_TRADER]

Anyone spot any errors on my excel sheet?

Please point out, cheers,



Also Richie Rich (Rich Kid ) I see a flag, consolidating before continuing strong uptrend and hopefully qtryl release is just whats needed!

 

[YOUNG_TRADER]

I think 49c - 52c has so much sell depth because few months back about 100m shares were issued @ 26c so 49c - 52c is about 100% profit for those who took @ 26c, so once passed, it'll reach for the sky!

 

[nizar]

YT i been watching also for a while, seems to be some resistance at 45-50c...

Need to overcome that, then IMO it will run hard..

Broker consensus eps for 2007 is 9.8cps... this was done after half-yearly when zinc spot price was us$1.00/lb... plus u have exploration upside from their JVs...Exploration in CObar Basin, Panorama JV and Napier JV can only add to the upside, then uv got broken hill as well...

Toho ZInc the largest shareholder with 25%, then ANZ, National, JP Morgan and Westpac CUstodians all in the top10...

Toho ZInc, largest zinc producer in japan, listed on nikkei, in the last yr sp tripled....

So its trading at 5x forward 2007 earnings, id say $1 easy...

If it wasnt for the cave-in, we already would be there...

That was unfortunate, for illustrates how crucial it is to diversify operational and production risk - SS will do just that, and it will increase zinc production by 50%..

Ill be looking to get in soon, i dunno about $50k though, lol...

http://au.biz.yahoo.com/060405/18/n3qs.html

Short-term, i think the share price will be supported by:
1. rising zinc spot price
2. open pit resource base reserve based on resource model will be completed very soon... they said "in the next few weeks" in their 2/03/06 announcement
3. BFS for SS completed by mid-year

 

[YOUNG_TRADER]

Damn, original buy order was sitting @ 41c, yesterday I thought, hmm stock hasn't broken below 45c, is in a 'flag' phase, so shouldn't go much lower and qtrly should be out, so I bumped order up to 47c,

Should have waited, could have saved myself $6k in buying them,

Oh well, excellent buying for new buyers

 

[coladuna]

I got in at .420, although my order was set at .430.
Pretty happy with the price.
Any explanations on why it went down so much all of a sudden this morning apart from general market mood?

 

[RichKid]

I got in at .420, although my order was set at .430.
Pretty happy with the price.
Any explanations on why it went down so much all of a sudden this morning apart from general market mood?

My guess, China interest rate rise and effect on metals, or maybe quarterly report has bad news.

 

[YOUNG_TRADER]

My guess, China interest rate rise and effect on metals, or maybe quarterly report has bad news.

I watched it happen, general market mood took it to this weeks support level of 45c any lower and it would 'break' the 'flag' a samll 25k order sold @ 44.5c and then I saw snowball panic!

Although qtrly is not out yet, given production disruption, anything above 10k t of Zinc will be a damn good recovery!


Stock needs to close around 46c to keep flag intact!

So many nervous sellers!

 

[YOUNG_TRADER]

Well recovery is taking alot longer than expected, with full production not expected until Sep 2006,


Still Sulphur Springs looks to have huge potential,
13.8Mt @ 3.7% Zn + 1.4% Cu + 21g/t Ag
= 0.5Mt Zn + 200kt Cu + 10m oz's Ag
Gross Value = Over $4b AUD @ todays spots!

As does Broken Hill
9.2Mt @ 4.1% Zn + 2.8% Pb + 31g/t Ag
= 370kt Zn + 250kt Pb + 10m Oz's Ag
Gross Value = Close on $2b AUD @ today's Spots

 

[coladuna]

SP has been struggling around .425-.430 mark all day.
Hopefully, it'll recover a bit before the market closes.

 

[michael_selway]

I got in at .420, although my order was set at .430.
Pretty happy with the price.
Any explanations on why it went down so much all of a sudden this morning apart from general market mood?

Zinc prices plunged over night, that was the main factor i think

thx

MS

 

[brerwallabi]

Zinc prices plunged over night, that was the main factor i think

thx

MS

Zinc just having that little correction similar to when it fell below $1.00 a lb earlier this year before its next step up.

 

[nizar]

Zinc just having that little correction similar to when it fell below $1.00 a lb earlier this year before its next step up.

Yesterday zinc fell by 4%, this is day-to-day movements, not a correction..

The correction earlier in the year was not by any means little: it fell from 1.08 to 89c, thats more than 17% and very significant...

Zinc has already recovered, currently up 3.6%...

 

[Kipp]

SP has been struggling around .425-.430 mark all day.
Hopefully, it'll recover a bit before the market closes.

Yeah, all the Zn boys got punished today, TZN, ZFX... you're not alone...

 

[brerwallabi]

Yesterday zinc fell by 4%, this is day-to-day movements, not a correction..

The correction earlier in the year was not by any means little: it fell from 1.08 to 89c, thats more than 17% and very significant...

Zinc has already recovered, currently up 3.6%...

Zinc dropped by 8c per lb it has not dropped anything like that since February and was the second biggest drop in 12 months. Its great to see its going back up tonight.

 

[coladuna]

Was a pretty good day for the stock. Any comments?

 

[michael_selway]

Was a pretty good day for the stock. Any comments?

I think its a great Zinc producer stock, low fwd PE (good growth)

However just this FY 2006, is a loss, because of production problems. Whether it will spill over to later periods and by how much who knows. But they have said full production by Sep 2006 Quarter recently

Earnings and Dividends Forecast (cents per share)
2005 2006 2007 2008
EPS 1.4 -2.3 9.8 9.5
DPS 1.0 0.0 1.0 1.0

thx

MS

 

[kitehigh]

Making a good come back today up 8% to 47.5. Haven't seen any news about this stock either, so must just be the positive sentiment driving it higher along with the rest of the market.

 

[YOUNG_TRADER]

Or it could just be the fact that today is the RBC second Annual Zinc conference being held in Syd,

CBH is most probably presenting, just haven't released their presentation yet,

To see what I'm on about check PEM's ann today

 

[michael_selway]

Or it could just be the fact that today is the RBC second Annual Zinc conference being held in Syd,

CBH is most probably presenting, just haven't released their presentation yet,

To see what I'm on about check PEM's ann today

yep and also zinc prices jumped overnight

Also updated forecasts

Earnings and Dividends Forecast (cents per share)
2005 2006 2007 2008
EPS 1.4 -2.3 11.4 10.8
DPS 1.0 0.0 1.0 1.0


thx

MS