My model in the end requires a range of output volume at different times, and an average EBIT value in dollars per tonne. How one geets the EBIT dollars can vary, and this includes using either FOB or CIF average price, but if a % is used, it differs when applied to either price. The date chosen varies, but it tends to be optimal when tonnage expansion stops.
My spreadsheet helps to select the right time. The model is not very sensitive to getting the time exact, and it is currently set to work on dates that are 31 December. This means that the PV (Present Value) calculation gives a reasonable current value. Six months hence, using 30 June would make more sense. Note that I use the words "share value", not "share price".
The total number of shares used is a thorny issue. There are other issues, like debt leverage, but it is a waste of time debating them if we have no idea of expected volumes at different points in time, and EBIT per tonne.
WAK Price at posting:
16.0¢ Sentiment: Buy Disclosure: Held
