How Cheap is EMH?

Isn’t it funny, nobody spits on EMH for months and suddenly a bit of volume appears, the price starts to go up and the boards are buzzing. But what has fundamentally changed from a few weeks ago till today? Sure, the share price has crept up a bit but nothing has really changed.

Fully diluted for in-the-money options, EMH is capped at around $17.5m with an EV of around $14.5m – whoopie freakin’ doo! Compare this to PLS which is capped closer to ¼ of a Billion dollars with a similar EV and AJM which is capped at about $54m fully diluted with an EV of $48m.

Now I’m not here to do an in-depth comparison between these 3 companies; however suffice to say that I think EMH stacks up pretty damn well even against PLS.

I suppose what I’m trying to say here is don’t think that because EMH has had a bit of a move that we are anywhere near the end of it. In fact, IMHO, we’re just warming up. If EMH were to attain a market cap like AJM, we’re talking about a share price of about 56c - a long way from the current 18c level. And it seems as though between the AIM listing and the news flow on the horizon, EMH could easily reach this level.

EMH – stay long, stay strong.