domums final call., page-10

12.5 cents is the Earnings Per Share (EPS). This is how much operating cash flow is generated per share in one operating year. This number is the mutliplied against the Price to Earnings ration (P/E) to work out a fair price for the company.

So 130 million / 1040 million = 0.125 (so in one year each share makes 12.5 cents in operating cashflow)

Then to work out a 'fair' price we multiply it by a P/E ratio as mentioned we can expect a P/E ration of around 8, so then multiply this by 0.125

0.125 x 8 = $1

BUT should we get positive results from Mumbwa there will also be a preimum or extra value added to the shareprice so it could/should be priced anywhere upwards of $1 within a few years.