Originally posted by Generalrelativity
Of course i totally agree OS
Nice post btw.
Even the discount on the NPVs a bit silly, but then i guess the brokers have to give their clients something to work with.
I have a tried and tested market cap model that should put this in a bracket somewhere between 200M and 400M so Ur number fits in there nicely as do the brokers.
Im thinking the broker working it atm must have a decent position already hence the push, but just how many more would they like before the secondary push to production ?
This will only matter if one is planning a trade and personally I still havnt decided how Im going to work this one. It just has so much upside in the longer term.
Whats Ur read on AMs attitude to Galena and Abra. I get a deep down feeling hed love to take it all the way as imo I dont think wed get the ultimate value they would by going to production Vs from an SF T/O.
Hopefully some more good news flow soon post his Nippon jaunt and it wasnt just a foody trek !!!
Gr.
Morning GR,
Yes it is a bit silly/conservative at 50% but you are right it leaves upside room. As long as the Financing/Offtake/Investment eventuates and sector remains stable there is a good chance this stock gets to $AU250M+ Market Capitalisation.
I have decided to take a long term hold here (pending no market chaos of course - will be mindful in 2020 though) as this one is being managed well with the aim to go all the way. AM was obviously bought in to secure the financing for project and if achieved then guide a market winner for some time after (his links in Asia and past deal making show this is the case as well as the latest on boarding to the ranks). In regards to SFR T/O or similar - If you have a substantial shareholding like management does here I'm sure you would much rather retain control and take some beautiful full value dividends every year... I know I would.
Of course still a decent way to go and some sizeable milestone de-risking events required before we can think about a groundbreaking ceremony taking place but it is definitely looking like one of the best spec/explorer-developer-producer investments on the ASX to me
Go ABRA
(20min delay)
