Coal stocks aren't being valued on earnings two/three years from today. Therefore, I can't see how a 10-15c price is achievable in 6-9 months... but... the market can do some funny things. Reading this forum, it looks like a lot of people bought into the hype of Bluff and over estimated the ability of a new player, paid to high a price and now don't want to let it go. I do like this company, but, it's not worth 40c again anytime soon. I'm happy to watch and take my time.
Look again at the numbers in that screen grab I posted above. It uses a PE of 8x... no other coal company trades on such high multiples. Maybe Alpha Metallurgical Resources trades with a five x multiple, but, that's a special case with aggressive buybacks.
@seenitb4 makes a good case with multiples, however, while us$90/t is a reasonable standard to aim for within the industry, its on the low side for BCB. I believe that the company should be able to lower costs, but, there are inherent costs which will make that us$90 cost difficult to achieve, railing, demurrage and port logistics being one of the more difficult challenges. Is that a $34/t railing/port cost? There's no spare capacity on the peak downs rail line and the distal ports are obviously more expensive to use. The challenge of building and retaining a skilled workforce will also be a drag on costs.
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0.7¢ |
Change
-0.001(12.5%) |
Mkt cap ! $20.51M |
Open | High | Low | Value | Volume |
0.8¢ | 0.8¢ | 0.7¢ | $415.2K | 58.38M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
16 | 36366468 | 0.7¢ |
Sellers (Offers)
Price($) | Vol. | No. |
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0.8¢ | 21660324 | 18 |
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No. | Vol. | Price($) |
---|---|---|
15 | 36223754 | 0.007 |
43 | 21848910 | 0.006 |
19 | 15512340 | 0.005 |
7 | 6825000 | 0.004 |
7 | 9816000 | 0.003 |
Price($) | Vol. | No. |
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0.008 | 21660324 | 18 |
0.009 | 7203624 | 10 |
0.010 | 1286851 | 4 |
0.011 | 2412227 | 5 |
0.012 | 1545284 | 3 |
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