GREY:SXRZF - Post by User
Post by
Dave4444on Jan 04, 2006 9:27pm
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Post# 10114649
Shares outstanding is a big plus, in
Shares outstanding is a big plus, inorder to attract institutional investor you need liquidity and UUU is now very liquid. In addition, the number of shares is fine as long as you have the underlying assets to support it. Why is UUU so popular?? Because unlike IUC etc, it is already a producer, it is producing 1.4 million pounds a year already and is going to expand to 10 million pound in the future. When it is producing 10 million pounds per year at over US$35 a pound, the stock will command a market cap of at least Cdn$ 4 billion or 5 times the current value. AND no further stock dilution is likely to be required. 400 million shares outstanding simply makes the stock cheap and liquid, a great buy for institutions.