why sar is unbelievably cheap

To me the biggest game changer is the "all-in sustaining cost" of A$1208/oz (from A$1600/oz 6 months ago). That coupled with production rate of 37,000oz per quarter, gold price of A$1400/oz, equates to ~$30m/year profit even without using hedge. Using today's market cap of $90m, that's P/E of 3.

You may say, but, but gold price is forecast to tank hard. SAR also got that part covered, the hedge of 176000oz @ A$1681 means that by selling into hedge, it is assured profit of 176000 * (1681 - 1208) = $83m, which is not far off from market cap already. So you get the rest of the gold pretty much for free!

Assuming that they can keep the cost at this level (which is pretty high by most standards), SAR is unbelievably cheap already. Extra upside can come from further cut in cost, rise in gold price, or further higher grade resources.

Biggest downside risk is rises in production cost. Management could also decide to waste the cash to buy out some other mines. However, judging from their prudent management of capital so far it does not look very likely.