OTCQX:GXOCF - Post by User
Comment by
nijinsky70on Oct 04, 2012 8:57am
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Post# 20446275
RE: RE: ?
RE: RE: ? Yes, Gasman book value to a resource stock in the absolutlely most meaningless number. Just take the two examples.
a). Image that there is an oil company - say Company A - with $10 million in net book value and 10 million shares outstanding (that equals to $1 a share of NBV) and they found not a drop of oil. This company is worthless in real terms.
b). Company B with $5 million in net book value and 10 million shares outstanding (that equals to 50 cents a share of NBV) and they hit a gusher and have 100 million barrels of reserves. In real terms this company is worth billions and yet only has a BV of 50 cents.
I think that clarifies everything.