Mitchell Services (MSV) and Capital Drilling (CAPD) are your best guides to valuation. From my estimates they trade between 3.5x (Capital - based in Africa) and 4.5x (MSV) If we place SWK on the mid-point (4.0x) and use FY21 estimates as "sustainable" (my estimate is $35m) then Drilling is worth $140m. Even on FY20 guidance (=FY19 or $28m) this would imply $112m Either way, well above curent share price, then we have OreExplore and excess franking credits
SWK Price at posting:
17.5¢ Sentiment: Buy Disclosure: Held