Analyst estimates for 2017 estimatesDundee $2.00 target 1.15 avg. zinc and 151.6 m lbs. zinc
GMP $1.45 target 1.10 avg. zinc and 158.0 m lbs. zinc.
Haywood $1.50 target 1.00 avg. zinc and 160.0 m lbs. zinc
Paradigm $1.35 target 1.10 avg. zinc and 157.6 m lbs. zinc.
From PEA-Caribou should be at 104.4 next year. I don't see any reason why Santander shouldn't at least be this years 58-60 m--they should get some higher grade from recent close zones found at much higher zinc content.
I think the analysts are sandbagging from 2 perspectives.
1. average price of zinc-of course, it could drop.
2. I think they should be able to produce 170 m. lbs. zinc.
Every cent higher zinc, target price should go about 3 cents higher.
10-15 million more lbs. from Santander should be lets call it 12 million lb. zinc at roughly .6 profit=7.2 million more profit times 6 multiple=43.2 milllion divided by about 400 million shares --another dime in target.
Their average is $1.57 now. If they produce as expected for 2016, once they announce prod. targets for 2017, the average analyst target will be close to $2 or higher.
I still think buyout before end of 2017. If not targets should go up even further based on Santander expected prod. in 2018 and Stratmat-Halfmile in 2019 or so.
I expect buyout at $1.5 or higher. Bottom line. Time will tell.
Others thoughts?