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Bridge Resources Corp V.BUK



TSXV:BUK - Post by User

Comment by mjl777on Jan 15, 2009 9:35pm
522 Views
Post# 15708167

RE: Is this stock broken ?

RE: Is this stock broken ?According to the 2009 presentation on their website, Bridge will generate cash flow of $69.5 million in 2009. Not factoring in any potential dilution from o/s options and warrants, that's the equivalent of $0.53 per share in 2009. A value company in the junior oil & gas sector has typically commanded a cash flow multiple in the 3 to 4 times range. This suggests a potential stock price in the order of $2.00 per share. The NAV/share of this company is approx. $0.71. IMO, BUK is far from being fully valued. It's trading at a significant discount because of the environment we are stuck in.
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