Mate I've bought and currently hold my fair share of dogs.................but LML..............?
Regardless I followed your advice and just took a quick look-see..............and this is what I found from a very preliminary investigation:
Reading their last qtr rep...............these dot points below stick out just a tad..............a few red flags in my book (underlined for convenience).
This from last qtr rep:
During the quarter, Lincoln received a letter from ASX requiring that the Company demonstrates to the ASX that it is compliant with Listing Rule 12.1-the level of an entity’s operations must, in ASX’s opinion, be sufficient to warrant the continued quotation of the entity’s securities and its continued listing. If Lincoln does not demonstrate compliance with this rule to ASX’s satisfaction by 18 September 2020, ASX may suspend its securities from official quotation.
During the quarter Lincoln incurred $10k on exploration activities. This expenditure represents costs incurred in maintaining the Company’s exploration tenure.
Extensive desktop exploration reviews are being undertaken focussing on precious and base metals targets and continue into the June quarter. No other significant exploration or development work was undertaken during the Quarter on Lincoln’s other Eyre Peninsula tenements.
They have very little cash in 'real terms' and any decent exploration, geo-chem, mag surveys or drilling work and so on would severely eat into what they have left imo.
$1.106mill at last Q1 end...............with "6" qtrs left 'on the tab' so to speak. With the '6' left on the tab meaning that they would appear to be doing very little or planning very little at least, I note the "continued undertaking of extensive desktop reviews into June qtr" statement in particular here.
So apart from paying salaries and maintaining their current grounds they don't have much on their plate at first glance..........? (no good value drive catalysts that I can see a least).
Staff and admin account for $164K spend in Q1 2020 (with $10K on just maintaining tenements)...........seems it'll be a very similar story for Q2 just passed..............and probably our current Q3 as well.................
Desk top reviews will not 'make a company', and I don't think I can recall seeing a 'DT' review cause much excitement or value uplift in the short term or ever imo.
I do agree they have a low mcap and smallish SOI...........but that's all they have going for them imo.......they also swapped out their 'new' recently appointed MD recently too, only lasted one qtr with them.........? (not a great endorsement imo).
This trades sporadically at best looking at the chart (1 week chart below tells the story imo) and it has been 'sailing the doldrums' since it tanked in late 2019 along with the graphite market..........
They seem to be mostly focused on graphite and right now no one is loving that sector imo. They do have some base and precious met interests as you point out.................so maybe they can look at those on their desk tops this qtr I suppose.
Personally I would recommend anyone considering this stock to look strongly back into the 2019 announcements at the very least and certainly read this years reports with a fine tooth comb.
I'm not saying a pump crew couldn't move this along (as anything is possible), or that an 'out of the blue' acquisition in gold wont happen for example, but based on actual facts and 'boots on the ground realities' I don't see this going anywhere but sideways in the near-term (just my take of course).
Good luck to any one looking to trade this one (reckon you'll need it)..................until pump crew/s get a hold of it maybe...........
*****BTW should a pump crew give this one 'a go' my take would be...............absolutely don't fall for the rhetoric......................do some actual research before buying a stock. What I compiled above took 10-15 min..............that last bold comment is for any new traders or investors out there reading this, a little time spent evaluating a company before buying rather than jumping on based off a FB, Twit or HC recommendation can reveal plenty about the prospects of your intended investment or tradeable play-thing.
Protect your capital people.......................
