Comparison to other Junior MinersHere are many of the Canadian listed junior gold producers which are or will be shortly producting in the 100,000 range.
Also shown is there current market cap( MK ) and 2010 net earnings trading multiple.
The average is 29 times net earnings.
AVR ,,,,,,,22 times and MK= $290 m
BRD,,,,,,,21 times and MK = $225 million
CGR,,,,,,30 times and MK =200 million
CN ,,,,,,,,,18 times and MK = $240 million
CRK,,,,,,,,42 times and MK =$300 million
MAI,,,,,,,,,20 times and MK= $512 million
TRY,,,,,,,,32 times and MK = $275 million
WDD,,,,,,32 times and MK= $275 million
KGI,,,,,,,,,36times and MK = $480 million
JAG.......38 times and MK = $450 million
The average market cap is $325 million or about $3250 of market cap for each oz of produced gold.
Using this average for a 100,000 oz producer gives PTQ a valuation of about $2.25 per share.
I think cash flow analyses will give a higher value,perhaps $3.50 per share.
There is nothing particularly different that would set PTQ apart form these juniors.
If fact, KGI and JAG have very high cash costs and are well below their expected levels.