Your logic is right Legume but this is the stockarket and it requires a bit more than that to succeed, look at the current share price to see what I mean. When I first bought in to Rms the price was around a buck and heading north. Gold was about $600 ounce. The management feel they had a gold mine and chose to prove they could mine. They failed to attract mainstream institutions on board because they ignored a basic business tenet of selling your potential not your current worth. As a result the share price is in the low 50's and there is little interest in the stock beyond moms and pops who feel there is potential. That $20m they failed to invest at the beginning might have cost them $100m in market cap that was missing during their failed DIO takeover. All in all, as one commentator wrote recently, they seem over valued. To me they are completely undervalued but most of that is their own fault.
RMS Price at posting:
54.5¢ Sentiment: Buy Disclosure: Held
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