96c would tally up with Cannacord's 95c Target Buy Coverage.
James Bay's advanced hard rock deposit would achieve far more valuation as a stand alone project imo
Cannacord have recently highlighted that James Bay compares favourably to other hard rock projects held by ASX-listed companies in terms of project size, grade and stage of development.
Filtering this list further to include only hard rock projects with resources, and widening the scope to include TSX-listed companies, they see that James Bay is one of only a few advanced, hard rock lithium projects in the world.
James Bay is currently being ascribed very little value, if any, in both GMM and GXY’s market value.
If we assume James Bay was held in a separate company with 100% ownership, we believe it would command a significantly higher value than is currently being ascribed to it by the market.
they go onto estimate an implied “value” for James Bay (100%) of $212m. Noting James Bay’s earlier stage of development versus its closest ASX peers in AJM and PLS (both PFS-stage), risk adjusting this by 60% could suggest a market valuation of ~$80m, versus GMM’s market capitalisation of ~$180m (which also incorporates GMM’s right). !!!!!!!!
Purely compare what GMM have got here with that of the early stage wannabees and you will clearly and transparently see where the Real value will end up and who will continue to beam success within the Lithium mining sector.
GMM Price at posting:
55.5¢ Sentiment: Buy Disclosure: Held
