Playing with the numbers in the latest announcements GDO seems to have a lot of risk priced in.
They forecast 120k ounces for 2011. If the average POG is $1,300 then revenue will be $156mil. Using the total cost of $686/ounce expected net profit will be $74mil.
The company's share cap is only 286mil so the forward pe is about 4.
Still looking at the other components of GDO but am doubting myself as GDO looks well undervalued on Modder East alone. Have I missed something?
Playing with the numbers in the latest announcements GDO seems...
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