The stockmarket in the mining industry is often an enigma. The theory of the market is supposed to be forward looking i.e future earnings etc etc. However, in the mining industry (excluding exploration sector) the market seems to be mostly be reactive and rearward looking. This phenomenon often presents golden buying opportunities for those will the ability to be forward looking. For instance, this has happened to NST and EVN for years and was money for jam because of that phenomenon.
DRM is the most undervalued gold producer in the ASX according to my numbers. Can I trust my numbers? Hmmm yes until proven otherwise. So I will continue to play it that way because I do believe the company when it states there are plenty of near term catalysts for SP improvement in the pipeline. Time will tell.
Cheers
DRM Price at posting:
96.0¢ Sentiment: Buy Disclosure: Held
