Let's be honest; mining is a pretty terrible business most of the time: it's massively capital intensive, often comes with hideous political risks from unstable governments, producers are highly leveraged and its profitability is determined by highly volatile commodity prices. In general, mining shares are best avoided, or at least approached with extreme caution backed up by extensive due diligence.
Despite this, I believe that diamond mining is actually attractive and the current depressed valuations across the mining sector, coupled with short-term diamond industry specific issues make now an attractive entry point into the sector.
In my opinion, Gem Diamonds (OTC:GMDMF) stands out as a high-quality company whose potential is misunderstood or, at least under-appreciated, by the...
|FREE||SA PRO MEMBERS|
|IDEA GENERATOR||X||Exclusive access to 10 PRO ideas every day|
|INVESTING IDEAS LIBRARY||X||Exclusive access to PRO library of more than 15,000 ideas|
|SECTOR EXPERT NETWORK||X||Exclusive access to all sector experts for direct consultation|
|PERFORMANCE TRACKING||X||Track performance of all PRO stock ideas|
|PROFESSIONAL TOOLS||X||Professional Idea Filters to zero-in based on industry, market cap and more|
|PRO Top long ideas returned 21.7% in 2016**|