I did the same maths and came to the same conclusion. UML produces 60k oz pa and at gold price now of A$1385/oz and its cash cost of A$1041/oz, that equates to A$20.64m cashflow (before any capex). The market cap of A$81m puts enterprise value at A$31m after deducting cash at hand of A$50m. This is just 1.5 yrs of cashflow! Without even counting African asset and others.
Is there something unnerving that I do not know of? It is either undervalued under the radar or something wrong with this stock? WHich is which to warrant a continuous decline in stock price?
UML Price at posting:
16.0¢ Sentiment: Buy Disclosure: Held