The Champion Iron Ltd (ASX: CIA) share price finished in the red today amid the company providing an investor update.
The iron ore explorer’s share price closed the day at $6.75, down 2.46%. For perspective, the S&P/ASX 200 Index closed down 0.13%.
Let’s take a look at the company’s latest news.
What is happening at Champion Iron?
Champion Iron is an iron ore miner exploring the Bloom Lake and Fire Lake projects in the Canadian province of Quebec.
Today’s share price fall may have been because the company traded ex-dividend today. Ex-dividend day is the first date a company’s shares trade minus their declared dividend. This means that anyone buying CIA shares from today will not receive the dividend payment.
Champion Iron declared a dividend payment of 10 cents per share on 27 January. As the company stated in its third-quarter investor presentation, shareholders who owned shares before today will receive their dividend payment on 1 March 2022.
As my Foolish colleague Sebastian has explained, a company’s share price can be reasonably expected to fall by the value of the dividend amount at open on the ex-dividend date.
In the case of the Champion Iron share price, it opened 8 cents lower than Friday’s closing price.
What else did Champion Iron announce?
Champion Iron released a new investor presentation to the market today. The report covers the company’s FY22 results for the 9 month period ending 31 December 2021.
The report reiterates the figures released in the company’s third-quarter results. However, there was one key difference.
Today, the company reported a net average realised selling price of US$157.9 per tonne year to date. In its third-quarter financial results, Champion Iron reported the net realised selling price at US$196.1 per tonne. That’s a 19% decline on its previously-stated price.
Champion Iron also reported it has invested more than $4 billion in high-quality assets and has substantial reserves and resources on top of Bloom Lake’s 20-year mine life.
The mine is producing high-grade iron concentrate with a 66.2% Fe concentrate with very few impurities. The miner has a study underway looking into increasing the concentrate to 69% Fe.
Share price snapshot
The Champion Iron share price is up 32% in the past year and has risen 24% year to date.
The company’s shares have gained 6.39% in the past week alone.
For perspective, the benchmark ASX 200 has returned 4% over the past year.
Champion Iron has a market capitalisation of about $3.4 billion based on today’s share price.
The post What happened to the Champion Iron Ltd (ASX:CIA) share price today? appeared first on The Motley Fool Australia.
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More reading
- Here are the top 10 ASX shares today
- ASX 200 (ASX:XJO) midday update: Amcor slides, BHP and Fortescue storm higher
- Why Aussie Broadband, BHP, Brambles, and Champion Iron shares are dropping
- These were the best performing ASX 200 shares in January
- These were the best performing ASX 200 shares last week
The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.
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