Good thoughts T2D, Does any think VSA have contradicted...

Good thoughts T2D,

Does any think VSA have contradicted themselves?

"Our P/NAV of 0.5x reflects the risk associated with the project since financing has yet to be secured. We highlight that our DCF valuation and consequent target price is dependent on TNG securing financing for the project."

How can you sensitize a value for risk of finance but then say the end value is after finance is approved? i.e. no need to sensitize the amount in that case...
Result would be SP of $1.46 on finance.

Has anyone compared these reports to the DFS?

DFS says net annual pre-tax cash flow of A$785m.
(Lets assume EPS of $0.80 per share after some dilution)
The long term (20 year) monthly average P/E ratio of the ASX companies is 14.3.
Lets halve that average P/E for a mining stock. Say a P/E of 7.15
Would that not result in an SP of $5.72 (EPS x P/E) when operating fully in 2020?

...and we are yet to consider the value of TIVAN and other mine assets.

The upside is crazy as are the risks.....

Looking forward to seeing how this all plays out.
GLTAH