Botswana Diamonds (BOD) AI Stock Analysis

• Market Cap: £1.80M
• Dividend Yield: N/A
• Average Volume (3M): 2.43M
• Price to Earnings (P/E): ―
• Beta (1Y): 0.52
• Revenue Growth: N/A
• EPS Growth: N/A
• Country: UK
• Employees: 6
• Sector: Basic Materials
• Sector Strength: 63
• Industry: Other Precious Metals
• EPS (TTM): >-0.01
• Shares Outstanding: 1,198,002,900
• 10 Day Avg. Volume: 1,982,154
• 30 Day Avg. Volume: 2,426,279
• PEG Ratio: -0.03
• Price to Book (P/B): 0.24
• Price to Sales (P/S): 0.00
• P/FCF Ratio: -2.39
• Enterprise Value/Market Cap: N/A
• Enterprise Value/Revenue: N/A
• Enterprise Value/Gross Profit: N/A
• Enterprise Value/Ebitda: N/A
• 1Y Price Target: N/A
• Price Target Upside: N/A
• Rating Consensus: N/A
• Number of Analyst Covering: 0

Botswana Diamonds is facing challenges with profitability and cash flow, which are significant concerns impacting the overall score. However, the strong equity position and positive corporate developments, including successful exploration advancements and securing mining permits, provide growth potential. The technical indicators are mixed, and the valuation lacks appeal due to negative earnings and absence of dividends.

Botswana Diamonds Business Overview & Revenue Model

Company Description

Botswana Diamonds (BOD) is a diamond exploration and project development company focused on the identification and acquisition of diamond assets, primarily in Botswana, Zimbabwe, and South Africa. The company is involved in the exploration and development of diamond resources, leveraging its expertise in geology and mining to discover and potentially bring diamond projects to production. BOD operates in the natural resources sector with a core focus on diamond exploration and development.

How the Company Makes Money

Botswana Diamonds makes money by identifying promising diamond exploration targets and developing these into viable mining projects. The company generates revenue through the sale of its diamond assets, either by developing them into producing mines or by selling stakes in its projects to larger mining companies. Additionally, BOD may enter into joint ventures or strategic partnerships with other mining companies to co-develop its projects, which can provide funding and expertise, resulting in shared profits from the eventual sale of diamonds. These partnerships and the successful development of its exploration projects are significant contributors to its earnings.

Botswana Diamonds Financial Statement Overview

Summary

Botswana Diamonds shows potential growth in revenue, yet struggles with profitability and cash flow sustainability. The strong equity position provides some stability, but ongoing operational losses and negative cash flows pose significant risks. Addressing these financial challenges will be crucial for future success.

Income Statement

The company has seen a significant increase in revenue over the past year, with a revenue growth rate of approximately 54.96%. However, profitability remains a concern as both EBIT and EBITDA margins are negative, indicating ongoing operational losses. The net profit margin is also deeply negative, reflecting substantial net losses.

Balance Sheet

The balance sheet shows a strong equity position with zero debt, resulting in a debt-to-equity ratio of 0. The equity ratio is high at around 84.56%, which indicates stability. However, the continuous losses are eroding the equity base, which could be a risk if not addressed.

Cash Flow

The company has negative operating cash flow and free cash flow, indicating cash outflows from operations. The free cash flow has improved from the previous year, but remains negative. This poses a liquidity risk, although the company has been able to manage financing activities to support its cash needs.

Breakdown
Jun 2024	Jun 2023	Jun 2022	Jun 2021	Jun 2020
Income Statement		Total Revenue
23.61K	15.23K	0.00	0.00	0.00
	Gross Profit
13.81K	9.73K	0.00	0.00	0.00
	EBIT
-564.11K	-3.68M	-738.99K	-472.11K	-391.23K
	EBITDA
-562.29K	-555.58K	-485.61K	-402.09K	-356.83K
	Net Income Common Stockholders
-564.11K	-3.68M	-738.99K	-472.11K	-391.23K
Balance Sheet		Cash, Cash Equivalents and Short-Term Investments
77.55K	199.44K	164.66K	17.99K	13.81K
	Total Assets
6.07M	6.13M	8.61M	8.13M	8.09M
	Total Debt
0.00	0.00	0.00	0.00	0.00
	Net Debt
-77.55K	-199.44K	-164.66K	-17.99K	-13.81K
	Total Liabilities
937.73K	802.43K	744.15K	432.49K	397.79K
	Stockholders Equity
5.14M	5.33M	7.86M	7.70M	7.69M
Cash Flow		Free Cash Flow
-487.18K	-604.31K	-573.38K	-492.02K	-615.58K
	Operating Cash Flow
-417.43K	-471.99K	-310.51K	-317.49K	-401.32K
	Investing Cash Flow
-69.74K	-132.32K	-262.87K	-174.53K	-214.26K
	Financing Cash Flow
367.10K	646.90K	723.40K	501.00K	370.00K

Botswana Diamonds Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 0.15
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Negative
• MACD: Negative
• RSI: Negative
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For GB:BOD, the sentiment is Positive. The current price of 0.15 is above the 20-day moving average (MA) of 0.12, above the 50-day MA of 0.11, and below the 200-day MA of 0.21, indicating a neutral trend. The MACD of 0.01 indicates Negative momentum. The RSI at 78.80 is Negative, neither overbought nor oversold. The STOCH value of 83.33 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for GB:BOD.

Botswana Diamonds Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FRES	76 Outperform	$7.83B	67.80	3.70%	2.23%	25.76%	-41.10%
SRB	76 Outperform	£138.05M	5.27	27.84%	―	44.40%	308.99%
HOC	73 Outperform	£1.53B	20.16	15.70%	―	31.84%	―
Sector *	49 Neutral	$1.96B	-1.15	-21.28%	3.71%	1.17%	-30.86%
GGP	49 Neutral	£1.80B	345.00	3.19%	―	―	―
BOD	46 Neutral	£1.80M	―		―	―	―

Botswana Diamonds Corporate Events

Botswana Diamonds PLC Leverages AI for Exploration Breakthroughs

Botswana Diamonds PLC has reported significant advancements in its exploration activities, leveraging AI technology to identify seven new kimberlite anomalies and several polymetallic targets in Botswana. The company has also secured a mining permit for its Thorny River deposit in South Africa, positioning itself strategically for future growth in the natural diamond market amidst current industry challenges.

Botswana Diamonds Expands Exploration with New Polymetallic Targets

Botswana Diamonds has expanded its exploration efforts in Botswana by applying for eleven prospecting licenses targeting polymetallic deposits, including copper, silver, cobalt, gold, nickel, zinc, and platinum group metals. This move follows a comprehensive AI-driven exploration program that initially focused on diamonds but revealed significant opportunities for other minerals, potentially enhancing the company’s market positioning and operational scope.

Botswana Diamonds Secures Mining Permit for Thorny River Project

Botswana Diamonds has received a mining permit for its Thorny River project in South Africa, which is located near the previously mined-out Marsfontein mine. The company has conducted extensive geophysics, drilling, and bulk sampling, revealing two commercially viable kimberlite zones. Although the Marsfontein project was put on hold due to falling diamond prices and permitting delays, the recent permit and a slight improvement in diamond prices could lead to the resumption of mining activities at Thorny River, enhancing BOD’s operational prospects.