"On paper it all looks good. OZ Minerals’ stock price jumped about 46% over the past month and is trading today (Monday, May 4) at about 80¢. It is outperforming its peers, stock exchange indices and broker forecasts."
What peers is he talking about? There are hardly any mining stocks that have gone up by such a small margin (FMG is the only one I'm aware of). KZL, MGX, PAN all 300% from lows, OZL 70%.
Apparently now being dependent on copper alone is a negative, as though being diversified was working for the company (I must have missed that). If $1.6bn on PH is a stretched valuation, I guess he concludes $1.2bn is a fair price (the cost to build the mine). This means no value on the resources contained in the site itself, despite it being considered one of the most significant greenfields discoveries in Australia for many years at the time.
I don't understand how these people get to write stock advice for the masses.
OZL Price at posting:
78.0¢ Sentiment: Hold Disclosure: Held
