"Demand for nickel improved in the first quarter of 2010, but...

"Demand for nickel improved in the first quarter of 2010, but this is mostly due to producers restocking their inventories and isn't sustainable, said Salman Partners mining analyst Raymond Goldie." - http://www.google.com/hostednews/canadianpress/article/ALeqM5j9ONJ-uvH5ZhfZy08TUsPLJJwfUg

Current projections by analysts is $8.82/lb - http://www.purchasing.com/article/455781-Analysts_raise_base_metals_price_forecasts.php.

With expenses of $4.95/lb of production, if nickel averages $8.82/lb that is still $4 profit per lb (last year it was ~$2 profit per lb). So I guess profit projection is $100m with a current market cap of ~$1.1b, so MRE will have PE of 11 (at current SP) while the sector PE is 17. I guess that makes MRE undervalued (worth ~$1.40-$1.50) if nickel price projections are accurate.