If they make 20mill NPAT ala TTY, then id assume theyll have at least 130-150mill shares + options as there will def be a cap raising before proddy.
OK , now........ 20mill/150mill=13.33 cps which is exactly the same EPS figure as TTY.
FRS will never get a PE over 10 UNLESS the growth profile is HUUUGE. Theyd have to have more than one mine in play ala MGX or theyll have to have a billion in resources with a massive massive mine life.
REALISTICALLY thus the MAXIMUM value of FRS in proddy (provided the production profile is similar to TTY) is $1.33!
thats REALITY which we cannot escape.
So there could be a little more upside.
I could be wrong re dilutionary effects and FRS producing same as TTY, although if you compare the 2, I think the proddy forecast is similar and grade similar too.
TTYs gone up to a PE 10 cause of MICHAEL KIERNAN and his boast that hes gonna expand the company big-time.
HIGH GROWTH=higher then avg PE.
FRS Price at posting:
0.0¢ Sentiment: Buy Disclosure: Not Held
