Jeff Young Dominion Diamond DDC-T COMMENT Jul 24, 2015

(A Top Pick May 14/15. Down 30.11%.) They reported disappointing earnings and the analysts quickly ratcheted down their estimates. Sold his holdings.

He is not sure if diamonds are a good investment. This company looks cheap on a statistical basis. If you have a longer term view there might be something there.

(A Top Pick May 14/15. Down 32.85%.) Sold his holdings at $20, so his clients made money.

He thinks it is trading at 6-7 times if you take the cash out. Another mine is coming in 4 years. He hopes they will use their cash to reduce the shares outstanding. There is incredible value to be unlocked in this company.

(A Top Pick May 14/15. Down 37.97%.) Sold his holdings shortly after at around $20.

This has been challenging. They own 2 world-class diamond mines. The stock sold off when there was a fire at one of the processing plants, which curtailed production in the 2^nd quarter. It should be able to get that back up and running within a month or 2. Ridiculously inexpensive, trading at about .6X its BV, and trades at an enterprise value to EBITDA multiple of about 2 or 2.5 times. Just sold their corporate head office for $85 million. He still likes the name.

They had a fire in the Northwest Territories. That has been fixed. The selloff in their shares was based on a selloff in the high luxury market. Real diamonds can increase in value whereas synthetic ones cannot.

This company has underperformed, but has a great balance sheet. He tried to buy, but did not get his price. The next quarter is probably not going to be that good for them and there may be tax loss selling. Look to get in at the $11 range.

(Top Pick Mar 7/16, Down 29.19%) It was a mistake. They did a good job operationally. They have a high population of small diamonds. There have been some inventory write-downs.