Regenx Tech Corp. C.RGX

RE:RE:MWX Davis Value Analysis

[Halfblind]

Thanks for your comments.  I did go down the PE route and this is where I ended up:

1. Started with the stock screener on TMXMoney for Basic Materials/Other Precious Metals & Mining.  I stuck with the Basic Materials/Mining sector as that is how they are currently listed on the Canadian Exchange.
2. Screened for smaller companies (<20 employees), <$100 MM in Total Revenue and with positive PEs
3. List of companies dropped to three (NSR, TFPM and MMX) with an avg PE of 24.4
4. If you assume that GP was talking 20% net profit margin, then net income (aka Net Profit or net earnings) = $55 MM x 20% = $11 MM.
5. Then Share Price = 24.4 x $11 MM / 342 MM Shares = $0.78 / share

Of the three comparable companies their respective share prices as of last Friday were:
MMX ($6.01), NSR ($8.70) and TFPM ($16.75) which is (will be) pretty sweet if/when the market treats MWX with a little of the same valuation love.