American Bonanza Gold Corp ABGFF

Call me crazy but....

[Amadeus2011]

I see all these lovely calculations tha show that the BZA SP should be $3 or $6 or whatever. But isn't it the case that the value of the company's resources divided by the number of shares is just a hypothetical number? I mean i have a car that's supposedly worth $5000 but the current market value is only $4000.

In otherwords, BZA shares are (and any shares) are only ever going to be worth what buyers are willing to pay. Correct? So doesn't that take some of the "value" and credibility out of these valuation calculations?

[jlag]

Yes, they are all hypothetical that have the potential based on their peers and the PE of other producers.  I think the point is that there is a huge, very probable scenario of the stock outperforming.

[camphor]

That is why we are calling it loooooooooooooooong term investment, because we are gold bugs. We think gold price is gonna go up (long term, 3-4 years), too. A gold stock is different from a used car. used car's market value goes down with time. A gold stock goes up/down with the price of the gold. I would used a paint, to compare with a gold stock, not a car. unless it is made in the 50s. (and

[camphor]

BTW, my caiculation is based on current gold price, which is $1700. Do I think gold is in bubble? No. Gold was $850 in 1980, Taking into the rate of the inflation. We should see at least $2500 to match 1980's price. Besides, the whole world is printing money (QE, LTRO.etc) like crazy (when one country prints money, other countries prints it with it, because they want to stablize their currency

[Smiles48]

It has become a game for the 2 robots now (99 and 79). Probably hired by a major owner, like Sprott, just speculating.

[camphor]

I am not gonna purchase more shares this week. I doubt that we are gonna get another NR before the end of next friday. It is never a good idea to buy or sell shares on the day of the NR, because the stock tends to be overbought or oversold on that day. BZA is heavily treaded (2X average volume) today. Most of the shares sold are by the big guys, if they are selling around the 0.50c. I doubt they

[agmetalhead]

Ill call you crazy and correct at the same time. BZA shares are worth only what a person is willing to pay for them. The same holds true for almost everything on earth.

[camphor]

Welcome back AG!!! Could you do your magic trick again, and bring the price down to 0.47c next week? I missed yesterday's opportunity to get more shares. Thanks again