RE: RE: 110-000 ounces for 2011At first glance your assessment seems good, but I don't think you took into account that 50% of 2011 production that will be hedged at $876. This would mean an operating cash flow of $55-60 million with gold at $1250. Share count so far will be diluted to ~172M shares on exercised warrants so the CFPS would be ~
.35. Brigus at the moment has just one producing mine, so the marketplace discounts it on a cashflow multiple basis. It deserves at least 5x which means a target price of $1.75. I believe that the market isn't even factoring in the Goldfields project which could make the stock worth ~$5 if it comes online in 2 years.
Currently looking to accumulate and obviously missed my chance yesterday and hoping for a pullback. I don't think BRD will rocket until Goldfields project gets closer towards production. Also the outstanding warrants may put an artificial ceiling on the SP until the end of July.