Share ValuationThe recent share price of around 50 cents indicates that SPI is severely undervalued. The company currently has $12M in working capital and approximately 44M shares outstanding. Therefore, on a cash valuation basis, the company is worth 27 cents per share ($12M/ 44M shares). This means that the market is assigning only 23 cents per share for the land holdings and the future potential of the company.
SPI is well financed, it has no debt, and it also extremely fortunate to have experienced joint venture partners who are also cash rich. In these turbulent times, cash is king.
The large investors and management have confidence in the company since the reports from SEDI indicate there have been no recent insider sales (https://www.sedi.ca/).
My strategy in this irrational investment climate is to continue to increase my holdings in SPI at the current bargain basement prices. As they say "these prices won't last forever".