On July 19, the shares of Premier African Minerals popped 9.37% with a surplus of 0.018 GBP. The current price is trading at 0.21 GBP. The previous close was concluded at 0.192 GBP and opened at 0.191 GBP. The company’s last significant peak was in July of 2017 when the price reached the mark of 0.75 GBP. Since then, the value dropped drastically, and the shares got into the stagnation period. At the beginning of 2021, the company saw a little jump in price values and is slowly gaining momentum.
Many shareholders have been pleased with Premier African Minerals’ 184 % increase in share price over the previous year. Nonetheless, only a fool would overlook the danger of a losing firm burning through capital too rapidly.
Over the previous twelve months, the firm spent $802k in cash. As of December 2020, it had a cash runway of about 11 months. That is a very limited financial runway, implying that the firm either has to lower its yearly cash burn or replenish its cash. Therefore, Premier African Minerals’ cash burn is comforting in relation to its market, but its cash runway is concerning.
Finance and Business reporter
After graduating high school. Lora decided to travel and blog as a part-timer. Today she enjoys what she loves and works remotely as our finance and business reporter