Deep Value

At current prices there is no doubt that CMC represents value. Including shares and options of 220 M, the market capitalisation at 6 cents is $13 M. Their current cash position of $2.3 M represents 1c per share.

Income (after costs) is currently $1.2 M per quarter. Providing this is sustainable, net operating cash flows should be around $4.8 M per year. Excluding growth. That's around 2 cents per share of after cost income per year.

Based on a P/E of 10 times the company should be trading at a market cap of $48 M… Or 21 cents per share.

Given that the company is just getting started, one could easily double this figure… I believe that the only thing holding this stock back from being 20-30 cents per share is the lack of information communicated to shareholders. I (and I am sure I speak for most on here) would have liked to have seen production figures released with the quarterly. But once again the Company leaves us guessing...