The Pitt Street research report projects sales of 566 million in...

The Pitt Street research report projects sales of 566 million in 2021, with profits of 82 million. Current shares on issue - 1,132,649,196 (as of October 2018). That comes out to 7.2 cents earnings per share. Choose your favorite PE. At a PE of 3.8 that projects a share price of 27 cents in 2021. Assuming no further dilution, which is a huge assumption. Here's where I go off the rails worried. The last financial report was posted on their website nine months ago. WTF? At that time they had 8 million in the bank. Pitt Street said they plan to issue 90 million in equity in 2019 and borrow another billion to build their mine. That's another 1.5 billion in shares, more or less. After dilution, the 82 million in profits now yields an EPS of 3.1 cents a share. Given the 10 to 1 ratio of debt to equity ration, the PE of 3.8 starts to look about right. So if everything comes together on schedule, and the creeks don't rise, you're looking at a stock price of about 12 cents a share within three years. Considering today's price is 12.5 cents a share, you should probably sell right now.