Maybe the buyers over last few weeks have been american investors.
In October 06 US investment analysts Khandaker say MMX is worth US$1.70. That is about au$2.25. "We believe Murchison Metals is undervalued. The Company has a fair value of US$ 1.70 compared to its current share price of US$ 0.57."
See full report at http://www.mml.net.au/images/murchison-34--ahngi.pdf
So perhaps this indicates that in the short term mmx may increase, beyond Tuesday close of $1.40, by a further 85c - $1.00 to satisfy US investor demand. I just hate to see aussie profits go to the us. So they aint gettin' my shares.
Who is Khandaker Partners?
http://www.khandakerpartners.com/
"Khandaker Partners & Co ., is one of the leading independent growth equity research firms in Metals and Mining, Energy, Technology, Healthcare, Real Estate and Gaming, Consumer and Industrial Growth. , Media & Telecommunications, Consumer, and Aerospace & Defense.
Through our conflict free trading affiliate Direct Access Partners, LLC we offer extensive and focused institutional trading services. Through our conflict free banking affiliate we serve a select group of quality companies with comprehensive investment banking services, including equity and convertible debt financings, private placements, mergers and acquisitions advisory services such as strategic alliances, joint ventures, and restricted security sales."
IMO the US analysts are unlikely to overvalue an aussie company and get a bad reputation in US. It seems to me they have been very conservative and have not considered the similarity between MMX and FMG. IMO MMX is a carbon copy of FMG but about 60% of its size. You work it out.
MMX Price at posting:
0.0¢ Sentiment: LT Buy Disclosure: Held
