SUM 8.33% 16.5¢ summit minerals limited

Ann: Shares coming out of escrow, page-186

  1. 6,425 Posts.
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    It's funny, the 101 tactic of a downramper looking for early entry is to specificy a price target or valuation so that now everyone who's read that has it in their mind even subconsciously and the intent/hope is for that to play on fears of retail; especially in a volatile, illiquid stock with low shares on issue let alone free-float that only takes a few trades of $20,000 to see it fall a few price points when demand is low.

    Companies do not trade at cash-backed values when projects are acquired and in the middle of works as well as when multiple projects are owned by the company, even in a highly volatile market.

    $6m cash gives an EV of $8m....which is the same if the company had no cash and would need to raise capital they would be valued at the $8m-market cap level.
 
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