MRE 0.00% 87.0¢ minara resources limited

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  1. 14,931 Posts.
    I've written on the fundamentals of this one before.
    Management has turned this company around 180 degrees! A few years ago it was in massive finacial strife, and had uncertain litigation hanging over its head. Today, it is out of debt, has an extra $155M in its coffers from the successful outcome of litigation. The problems it has had with its Mines in the past are now resolved, and its full steam ahead. With its nickel output, the price of the Aus dollar and the demand for nickel and the good price it fetches, one can only say that its fundamentals are excellent!

    A dividend is on the cards as management have said they would distribute some of their cash to shareholders in the most tax effective way they could.
    Furhtermore, having watched the current market activity, and the way its price has fallen, I wouldn't be surprised if they announced a buy back. Its shares are currently at levels that make that option very attractive. OSH (Oilsearch) did a similar thing last year, and it has worked well for them. Sometimes companies sacrifice some shares by selling them at lower levels, convincing the market to sell and consequently push the price down, so they can then turn around and buy up many more of them in the future at lower prices.
 
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Currently unlisted public company.

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