price target estimate by pe ratio

Price target estimate by P/E ratio against others in this sector.

According to their Ann's their new fast start project will allow them to process 150kt of ore P.A, if you average 2% which is mostly what you are looking at almost 2,000/t of nickel with todays prices will give you a Net revenue of around $23mil P.A after running costs, tax’s and everything else.

Over 156,946,086 shares that gives you a EPS value of $0.143

at the current stock price of $1.30 that would give you a PE ratio of 9.1

For this stock to match the PE ratio for this sector at 15 you would expect a price rise to $2.20 after first years profit.

Doesn’t sound like much, but with a published book value of $0.11, and considering the price was 44c before the hype of AF, and 40c is the sale price to the board that’s almost 600% return. At todays stock price of $1.30 It sort of shows how hyped up the current price is, and is being traded as though it’s a producer.