To buy or not to buy back I'm yet to be convinced that a $100mill share buy back is best use of the company's capital. I'll admit I'm not a financial whizz but Pumping that 100mill into an array of cheap assets like Matrix's copper mine will not only grow the asset base but generate a pipeline of considerable cash profits for the future.
We are in the business of investing in, financing and developing resource projects (real estate). As long as we are expanding our asset base, and generating healthy profits and fat divedends, who cares what the shareprice is, the true value of the co is in the real estate we own or have an interest in and our cashflow. Aligning the shareprice with the intrinsic value of the assets would seem to be a one off short term measure.
The shareprice is determined by the market & if the market is applying a significant discount to the true value of the co now because they don't understand us, why would the market rerate the stock & say the discount no longer applies after the buyback?
CFE Price at posting:
37.5¢ Sentiment: Buy Disclosure: Not Held
A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.
(20min delay)