RE: Article .... Motley Fool good article.
my only issue is that when mentioning the colossus deal, they don't mention the primary driver, platinum.
that's a little sloppy on Motely Fool's part.
However, the most interesting portion?
mentioning SSL trades 10x 2013 cash flow (CF), versus SLW at 18x and FNV at 19x CF.
the article sites on average, royalty companies trade at 25x CF.
if that holds true (trading at 25x CF), SSL should trade at $36/share if the based on current projections for CF in 2013.
My guess is that realized CF will actually be higher.
It may take quite awhile for royalty co's to trade at 25x CF, but you can bet that when we get a gold spike, that multiple will look low.
By that time, SSL will have inked additional deals to add to their projected CF numbers as well.
Hold strong. Don't try to time this for a few bucks, hoping to buy cheaper later. You'll make many times your $ if you stay put.
The old saying holds true..."bears make money, bulls make money, but pigs don't make money".