Here's my thinking;
1) Reserve/Resource update will be positive in quantity and in higher average grades.
2) Higher grades, new deposits near surface equal more production at lower cost.
3) Assume 100k oz at A$1,100/oz AISC for A$50m EBITDA.
4) Current EV is A$80m (A$100m - A$20m cash at Jun16).
5) Good Aussie golds trading at forward 4.0x EV/EBITDA (NST, EVN, SAR, etc).
6) Similar for MOY means A$200m EV.
7) Means share price goes up 120% from here.
8) Gives A$0.32/share TP.
That's at a MINIMUM- without anything "extra" happening like higher gold price, higher rating multiple, better exploration results, etc, etc.
Can you see NST, EVN, SAR doubling from here as easily?
Makes MOY a standout buy for the sector.
- Forums
- ASX - By Stock
- Ann: March Quarter Trading Update-MOY.AX
Here's my thinking; 1) Reserve/Resource update will be positive...
-
- There are more pages in this discussion • 2 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add MOY (ASX) to my watchlist
Currently unlisted public company.
The Watchlist
FHE
FRONTIER ENERGY LIMITED
Adam Kiley, CEO
Adam Kiley
CEO
SPONSORED BY The Market Online