Copper Mountain Mining Corporation T.CUM

RE:RE:Be a lot of '21 earnings estimates raised this week

[Rational43]

Based on '21 guidance at current prices cash flow should be sufficient to fund the full 65KTPD expansion, pay down maturing debt installments and still fund a 10% share buyback, without dipping into accumulated cash on the balance sheet which should be about $80M at end of Q4 (depending on how much they spent on capex).  The buyback would be back end loaded to H2 2021.

But they won't spook the market by appearing to run their company as if copper won't fall off a cliff any day, so they will focus on debt repayment, maybe that gets our Forward PE multiple up to a 5.

Best possible news would be a sale of 25% of Eva to Mitsubishi for 50% of development costs + low interest loan for Copper Mountain's share with development drilling to commence, and full construction once the 65KTPD expansion is complete.

Most dissapointing news would be a share sale at these deflated prices, although the last time they cut the investment community in for shares at $1.15 the stock soared after, so maybe that's giving the devil their due.