DOM is desperately trying to hold $2.00 if this doesn’t hold then straight to $1.60. So even with 108K ounces at $900 average price, 50% deducted for costs then add in exploration, admin fees etc DOM will make about a $25 to $30 million profit. Giving a single mine 10 times earnings is unrealistic so a PE of about 6 to 8 would be a maximum.
DOM would be on a market cap of about $200 million or $2 share price. So right now under these negative market conditions DOM is still trading on par while others have been heavily discounted. Price of Gold is also looking shaky to say the least but the AUD is helping. I am still sitting on the sidelines and will continue to wait but this one has much further to fall IMO of course.
Regards
DOM Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
