GREY:GRDSF - Post by User
Comment by
myNEXTmillionon Apr 28, 2010 2:14pm
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Post# 17040583
RE: vst has 37 interest in qara dagh
RE: vst has 37 interest in qara daghYes, GSA has a measly 6% interest but it is a powerful 6%. Comparing VST and GSA percentage ownership to the share weighting:
300 million shares
------------------------ = 8.1 for VST
37%
68 million shares
---------------------- = 11.1 for GSA
6%
For every dollar VST goes up, GSA will should go up by 72% (8.1 / 11.1)
GSA's share price is 58% of VST's (.50 / .86). GSA has a better weighted opportunity for gain then VST, meaning GSA is undervalued. Add to that, GSA has 2 other plays with good potential as well that one is basically getting 'free' if you consider Black Mountain to be a pure play.
Don't misunderstand, both are excellent prospects. GSA is undervalued and has less risk, IMHO