RE:RE:Q2 FinancialsHaven't followed this company since the peak in vanadium, but I completed my position today and the table that Clipper shared is why. For the Q2 average price, I'm estimating $8.25 or higher. For the costs (total cash costs), I'm taking the company's guidance of $3.50 - $3.70. The question is SG&A. My estimate and being consevative, is $4.5m.
So I'm arriving at $26+ million in EBITDA for the quarter. My valuation metrics are different than P/E because I'm focusing on operating cash, but when you convert to Canadian dollars, I'll think we'll see a positive reaction to the SP when earnings are announced.
The V price looks good, China is recovering. Every dollar of increase will mostly flow to the bottom line. We're touching $10 now and the SP won't be here for long. At $10, the Q3 results should push this closer to $30 - $33.
With the previous crash in the V price, the company may not implement a regular dividend, but a special dividend after year end results may be declared. Or a NCIB announced. Don't know if they have strategic initiatives/acquistions on the horizon, but I'm in favour of some return of cash to the shareholders.