GXY valuation - PE multiple, page-4

Look that depends.

If GXY was only valued on Mt Cattlin and Mt Cattlin alone. Then it would look something like this.

Assuming $1000USD/tonne spod price
$300USD OPEX/tonne
$700USD per tonne of spod
@200k per annum = $140,000,000USD per year
Convert to AUD (.75) = $186,666,666 per year revenue.
Minus tax (although GXY has like $200m in capital gains losses it can use, but lets just ignore that for now) = $130,666,666

GXY's P/E now is roughly 30 according to Wall Street Journal (probably not right but whatever)

So if GXY is operating on a P/E of 30 then mcap will be almost $4billion
And thus the GXY price theoretically could be like $10.90 assuming 360m shares.

Ofcourse, GXY also has other projects in the pipeline which will cut into earnings. But as these projects get closer and closer to coming online then they will be valued more in the share price.

These are all rough calculations just done now. dyor, not advice etc etc.