By the end of March 2024, the company should have provided half-yearly report, funding details, history of ramping up production and shipments over October 2023 -March 2024.
By March 2024, I expect funding to be in place. It would then be reasonable to assume that by December 2024 the annualised production rate would reach close to 625kta.
Even if the margin is about $120pt (give or take), that's $75mln pa less $10mln pa in overheads (guess) times PE multiple of 7 divided by 750mln shares (including options) = 60c per share valuation on forward earnings.
I expect commodity prices to be going up in USD terms slightly offset by AUD strength, so in my view 120pt margin is conservative.
CXM Price at posting:
7.6¢ Sentiment: Buy Disclosure: Held
