Thanks Ainsleym! I came to the same amount. At the current price...

First 12 Last

Share
Profile

Follow
aussietom

32 Posts.

04/12/17

18:11

Post #: 29359502
Share

Originally posted by ainsleym ↑

Aussietom, I am no accountant, so my simplistic figuring goes like this.............

- when the most recent re-valuation of PP was done they said ( Aug 31 announcement) the value had increased by USD 3 million which equated to 8.7c per share increase in NTA ( AU currency I presume).
- the latest NTA was provided on Sept 1 as 57.47 cents ( AU)
- so given they are returning capital to us of 15c ( AU) per share, I guess that means 57.5 minus 15 = 42.5 give or take as the current NTA. At yesterdays closing price of 39c the gap between market price and presumed NTA has therefore narrowed considerably, and possibly this was the intent behind the special dividend. Simplistic reasoning I know !!

To what extent, if any, the return of capital ultimately means for sustainable 6 monthly dividends is now a key question, since the capital could have been ploughed back into the business, but my ( gut) feeling is the impact is not that much. Certainly would be nice to continue receiving steady 2c divvies every 6 months, here's hoping. If so I can't see the SP dipping any further and causing widening of the gap to the NTA.

If anyone has another take on the current NTA feel free to comment.

Expand

Thanks Ainsleym! I came to the same amount. At the current price I'm tempted to use my dividend to buy some more.

USR Price at posting: 35.0¢ Sentiment: Hold Disclosure: Held
2 Upvote

0 Great analysis

Reply

Top Stories

MIN

MinRes jumps 5% as the company meets production guidance – depressed iron ore prices be damned

ASX Market Open: ASX200 to rise for Friday session | July 26

HRZ

Horizon firms up ore reserve for Boorara ahead of FY25 Q1 development decision

Nine's staff strike as Paris Olympic coverage begins

IGO

IGO kicks off earn-in copper drilling on-site Encounter's Yeneena play as it adopts new identity

RHK

Red Hawk upgrades Blacksmith with DSO mineral resource at the Eagle Deposit

NVA

Nova locks in NASDAQ US market listing at a value of only US$3.3M as ASX gets quieter and quieter

TRP

Tissue Repairs soars nearly 32% on TGA approval for wound healing gel

Capital raisings wrap: Brainchip, Ovanti, Lake and VHM

MND

Monadelphous inks $200M contract with Woodside to help build Pluto LNG – but will it make Scarborough cheaper?