500 M ??? that is more than theentire plant is on the books for. If your number of 500 M is correct then WES is already offering over 2 B fpr Lynas. 1.25 B for share holder buyout, 305M assumption of JARE and MT K debt, 500M relocation expense. That is way over Your $3.00 a share. Why Would WES raise their offer since the offer was made all the REO that Lynas processes has dropped in price. No competitive bids. Take a look at their earnings history for 10 years.
2008 loss 21M
2009 loss 31M
2010 loss 24M
2011 loss 104M
2012 loss 103M
2013 loss 107M
2015 loss 366M
2016 loss 122M
2017 Loss 45M
So in the first 9 years they loss AUD 923M. The plant cost were all CAP EX so they did not add to loss. Then things got better.
H1 2018 51M profit but that was during a Q when ND Pr prices were 60% higher than to day USD64.5. The next H prices feel to about $45.and profits fell to 2M for H2 and 53M for the year. At this point Lots of next enhancements came on line and they made 19 M H1 2019 in spite of losing all production in December. ND Pr prices were about 43.00.
I think I am being generous when I say that 2019 Profits will be 50 M. Divided by 666M shares is EPS of 7.5 Cents for 2019 at AUD 2.25 that is a PE of 30 which I find very generous. At AUD 3.00 that is a PE of 40, Could you justify why WES should offer that much?
Now you could say that when REO pricesrecover the company would easily be worth 3.00. I actually think $5.00 to $15.00. But that is in the future. This offer is to day so it is based on todays performance and the offer has a very nice premium to today’s performance.
- Forums
- ASX - By Stock
- News: LYC Lynas sees value in initial ore processing in Australia
Featured News
Add LYC (ASX) to my watchlist
(20min delay)
|
|||||
Last
$6.78 |
Change
0.040(0.59%) |
Mkt cap ! $6.346B |
Open | High | Low | Value | Volume |
$6.70 | $6.82 | $6.68 | $3.248M | 480.8K |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
18 | 4955 | $6.77 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$6.78 | 5532 | 18 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
14 | 4442 | 6.760 |
29 | 18852 | 6.750 |
13 | 16730 | 6.740 |
13 | 22978 | 6.730 |
10 | 17823 | 6.720 |
Price($) | Vol. | No. |
---|---|---|
6.770 | 6678 | 31 |
6.780 | 15966 | 17 |
6.790 | 17713 | 14 |
6.800 | 36897 | 13 |
6.810 | 8037 | 12 |
Last trade - 11.52am 18/09/2024 (20 minute delay) ? |
Featured News
LYC (ASX) Chart |