Petra Diamonds (LON:PDL) Shares Up 8.4% - Time to Buy?

Key Points

• Petra Diamonds' stock rose by 8.4% on Monday, closing at GBX 20.60 ($0.28), despite a 22% decline in trading volume compared to its average.
• The company has a high debt-to-equity ratio of 124.59 and a PE ratio of -5.90, indicating potential financial stress.
• Petra Diamonds focuses on optimizing recoveries from its high-quality assets and has announced plans to sell its interest in the Williamson mine in early 2025.

Petra Diamonds Limited (LON:PDL - Get Free Report)'s stock price rose 8.4% during mid-day trading on Monday . The company traded as high as GBX 21 ($0.28) and last traded at GBX 20.60 ($0.28). Approximately 283,744 shares traded hands during trading, a decline of 22% from the average daily volume of 364,723 shares. The stock had previously closed at GBX 19 ($0.26).

Petra Diamonds Price Performance

The company has a debt-to-equity ratio of 124.59, a current ratio of 1.32 and a quick ratio of 3.52. The company has a market capitalization of £55.38 million, a PE ratio of -6.31, a price-to-earnings-growth ratio of 0.17 and a beta of 1.45. The stock's 50 day simple moving average is GBX 14.65 and its 200-day simple moving average is GBX 21.98.

About Petra Diamonds

Petra Diamonds is a leading independent diamond mining group and a supplier of gem quality rough diamonds to the international market. The Company's portfolio incorporates interests in two underground mines in South Africa (Cullinan and Finsch Mines) and one open pit mine in Tanzania (Williamson). In January 2025, Petra announced that it has entered into an agreement to sell its entire shareholding in the entity that holds Petra's interest in Williamson. Petra's strategy is to focus on value rather than volume production by optimising recoveries from its high-quality asset base in order to maximise their efficiency and profitability.