Stock is CHEAP and CHEAPER by the day.
Now back at levels pre- VW power day, when VW announced the use of high Manganese as its battery of choice. This was a game changer for the company, and yet the market is valuing the stock as though this never happened.
From a valuation perspective, I reiterate what I said previously.
One needs to adjust the PEA NPV figure since they use a 10% cost of capital which is v high for a good jurisdiction - to say 8%, which is comparable to other resource cos in such jurisdiction. In doing so, NPV rises to probably cUSD700m all else equal. We’re therefore priced at ONLY 20% of NPV and that‘s assuming PEA Manganese flake prices, which are below where spot trades.today!
As an idea, Piedmont lithium is valued at something like 70% of NPV; serious uranium projects are valued 60-70% of NPV and that’s assuming a uranium price way above spot... European Metals Holdings trades at something like 31% - and yet, we are the ONLY Manganese project in the EU unlike with lithium.
I therefore do NOT see why this stock should not end up
trading at LEAST 3x higher over next 6months - as we head to FS, pilot plant being operational. Moreover, short term a Nasdaq listing could finally put this company on the radar of ESG funds.
This project has the DISTINCT advantage of not being a mining project but a effectively a RECYCLING project, and one could argue this deserves a PREMIUM valuation to other natural resource projects. This project is perfectly aligned with what the EU is looking for in its green deal aspiration; and in my view could also attract the interest of recycling companies (how about Veolia/Suez takeover?). Finally, I believe just like EMH, EMN could get access to funding for the project from the EU Transition Fund - as Czech R moves away from legacy polluting industries.
NO BRAINER. BUY!!!
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Last
4.2¢ |
Change
-0.001(2.33%) |
Mkt cap ! $9.154M |
Open | High | Low | Value | Volume |
4.3¢ | 4.3¢ | 4.1¢ | $14.25K | 339.1K |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
1 | 89941 | 4.2¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
4.6¢ | 20000 | 1 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 89941 | 0.042 |
3 | 143500 | 0.040 |
2 | 55000 | 0.039 |
1 | 111556 | 0.037 |
1 | 20000 | 0.035 |
Price($) | Vol. | No. |
---|---|---|
0.046 | 20000 | 1 |
0.047 | 40000 | 1 |
0.048 | 22511 | 1 |
0.049 | 24000 | 1 |
0.050 | 90433 | 4 |
Last trade - 16.10pm 12/08/2024 (20 minute delay) ? |
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