Personally, I think that the day traders are just punting on the trend and the leverage available in a penny stock. I doubt there is a reliable valuation available yet but it sure added some excitement to the market today.
MNR will have equal leverage to the discovery as they have fewer issued shares but have a higher entry price. Interesting though, if the figures used to value EBR are correct then MNR's share of the action is $750m. With an issued capital of some 30m shares, this values MNR at $25.00 per share plus.
I wonder why they only moved up 10 cents.
Any thoughts?
Regards M.
EBR Price at posting:
0.0¢ Sentiment: None Disclosure: Held
