MGT share price, page-7904

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hayboof

39 Posts.

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07/07/21

13:52

Post #: 54343353
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Originally posted by dunnomuch: ↑

the "market" in this instance is just normal every day people who still have normal every day expenses like car rego, rent/mortgage, groceries etc and can't wear the risks long term. The reason people are ditching is that they tried to ride a shooting star to a better place than where they started, greed was replaced by fear (extremely normal response too) and the sell off started. Lots of these same people (entirely normal every day people) also set stop losses believing it will prevent loss only to see the selling snowball and the share price collapse which then triggers more requirement to sell as normal every day things like car rego, living expenses etc don't go away and the money is needed in real life.

As for risk/return, at worst case that snapshot you have posted suggests a payback of under 6 years. How is that unacceptable? That's at low grades and lower volumes than can be realistically expected. A free cash flow of $73m AUD is not a negative thing and that is at worst case. The Plant Optimisation column, as I see it, is the addition of Next Ore. The equipment that MGT has will process about 3mtpa and that fits nicely with the base case plus Next Ore contribution moving up to the 15.5mtpa. I think that is the column to look at and if you take a mid-point for IRR (internal rate of return) as 22% that sounds like a good investment, which would be about 3.5 years payback.

Funding is still the biggest risk but it was also the biggest risk a month ago before the PFS came out so no change there. The risk are real and they are definitely present but the upside as defined by the PFS also bear in mind that only 16% (or 1/6) of the potential was included so multiply that mine life by at least 3 to be conservative and you are talking about a very long dated asset that is currently (and over the last couple of months as well to be fair) is being mispriced on short term thoughts.

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4 billion tons,, that wont fit in my calculator its a steel.

MGT Price at posting: 5.3¢ Sentiment: Buy Disclosure: Held
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(20min delay)
Last 14.5¢		Change 0.025(20.8%)		Mkt cap ! $16.72M

Open	High	Low	Value	Volume
13.0¢	14.5¢	11.0¢	$40.13K	325.5K

Buyers (Bids)

No.	Vol.	Price($)
1	291535	13.0¢

Sellers (Offers)

Price($)	Vol.	No.
14.5¢	28036	2

View Market Depth

No.	Vol.	Price($)
1	291535	0.130
2	6600	0.120
3	46223	0.115
5	156311	0.110
1	15000	0.105

Price($)	Vol.	No.
0.145	28036	2
0.150	119850	3
0.155	29825	1
0.165	20000	1
0.175	31031	2

Last trade - 16.10pm 13/11/2024 (20 minute delay)

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MGT share price, page-7904

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MGT share price, page-7904

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