Fair call Mikekiller on a technical basis. This is supported also on a fundamental basis where I truly believe we could find ourselves close to the $2.00 mark. Both myself, 3 months ago and Jgocar24, 6 months ago, called the $2.00 range and nothing since has given me cause to change my opinion. In fact the past 3 months have strengthened my conviction as to where CPL is headed.
If we look at CPLs share price catalysts to come over the next several months and the demonstrated management expertise in leading publicly listed companies we are a very good chance. I say this because Gene and his team appear to be extremely proficient at ensuring maximum share price appreciation from announcements. Case in point. Why hasnt Colin Steyn been appointed as a non-exec director as yet? My view is that such an announcement would have practically no share price effect if made on the asx. However, given his standing in North American markets announcing his appointment to the CPL board once we are trading on the TSX would be a master stroke.
Similarly, management strategically organised a sight visit for predominantly North American brokers some 5-6 weeks prior to listing on the TSX. As we heard from 13th included in the sight visit were discussions with Hinton locals, CN Rail officials and Port Ridley officials. Now Gene could have simply told his story via a road show but to bring analysts face to face with those that control the highly valued infrastructure and the business community of Hinton so they could hear the CPL advantages for themselves was simply top shelf PR. These analysts now have a greater incite and appreciation for CPLs potential and I suggest would be in the throws of completing comprehensive initiation research which will be released to coincide with TSX listing. This is important as analyst research in North America has a much more profound effect on share price movement than it does in Australia.
So this is how I see the next several months panning out. Only my opinion of course.
Listing next 2-3 weeks along with research coverage from at least 5 Canadian brokers. Valuations and price targets substantially higher than todays current share price.
Soon after listing an announcement concerning the appointment of Colin Steyn as director.
October announcement re PFS results and the commitment to purchase mancal leases.
October announcement re initial Vista south JORC hopefully taking total JORC to 1.5 and 2 billion tonnes.
Broker research updated with valuations north of $3.00 per share
Commencement of a scoping study on Vista South
November roadshow through North America highligting compelling Vista project economics with a view to raising cash at somewhere near $2.00 a share to minimise dilution.
As was evident on close of trading today the CPL share price can move quickly when institutional buying is occurring. In addition, CPL has a relatively tight share register in which Directors, Associates and other top 40 shareholders control approx 64% of available shares meaning only 36% of shares are available as free float. Basic supply and demand forces could see the share price rise significantly and quickly.
Well done to all holders and enjoy what I truly believe will be an exciting and extremely profitable next 2-3 months.
Please DYOR
Regards
Danash
CPL Price at posting:
95.5¢ Sentiment: Buy Disclosure: Held
(20min delay)