Well said @Pokerface
Just to add my 2 cents, my view is that once stage 2 nameplate is achieved, PLS has many ways to distribute the cash. A catalyst to increase the share price is dividends.
At $500m EBITA, $350m NPAT, the company doesn't need to pay off all its debt at once. It could pay back some debt, say $100m, keep $50m in the kitty, and offer the remaining $200m as a dividend payment in the same year.
$200m / 1.74b shares on issue = 11.5c dividend per share, fully franked.
At current share price of 77.5c and dividend of 11.5c, that is a yield of 14.9% FF, which is unheard of. Funds, Insto's, SMSF's, yield chasers, etc will buy in droves and bid the share price all the way up to 6% FF. (I chose 6% as banks are that now)
At 6% FF dividend, that would mean our share price would be $1.92
re:Lithium demand surge, page-866
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Last
$3.08 |
Change
0.060(1.99%) |
Mkt cap ! $9.273B | |||
| Open | High | Low | Value | Volume |
| $3.00 | $3.08 | $2.99 | $63.97M | 20.91M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 1 | 200 | $3.07 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $3.08 | 287572 | 5 |
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| Last trade - 16.10pm 27/08/2024 (20 minute delay) ? |
| PLS (ASX) Chart |