Good timing on that post SCD.Looks like it was ready to turn...

Good timing on that post SCD.
Looks like it was ready to turn back up.

I have been thinking that some additional support for markets would be scaled back post elections and some of the additional pressure on gold might also be scaled back.
Might just be coincidence but so far that’s the way it’s playing out.
SLR continues to look like it’s formed a base and so far is turning higher since the low a week ago.
A move through around 3.55 should confirm.
I am back in fully.
I have them on a forward PE of 6.9 and cashflow multiple of 6 (adding back depreciation of plant but not amortization of u/g development costs). My spreadsheet is conservative.
Too cheap for a gold company in Australia with top management, cash on hand with no debt and strong cash flow and exploration upside.
Nothing factored in for expansion of IGR plant or production from Hollandaire and both looking likely.
Nothing factored in for increasing gold prices. Currently assuming $A1707 for 2014 but I think over $2,000 is more likely for FY 2014.
I think it’s ready to retest the 3.90 highs again quite soon.
I think we will easily see $5 next year.