RE: Calling buyers and sellers of stock scumI have to agree with you. There is very little 'analysis' or 'discussion' on this site. People have strong 'opinions' but those generally reflect the outcome that people want.
At the moment, Alexco is 'ramping up' production and sometime next year, 3M ounce production will be achieved. Then 4M, and in 2024, 5M.
25% of all ounces will go to Wheaton Precious Metals and at today's prices, AXU will receive about 10% the value of those ounces. Assuming AXU is able to produce 2M ounces after WPM payment, at an AISC of $12 and a sales price of $25 (example), AXU would make .17 per share before taxes, capex, salaries, etc.
At 3M ounces, it would be .26 per ounce ($13 x 2M ounces = $26M / 150,000,000 shares.
So my question is this: what is AXU's valuation given these scenarios? I assume 3M ounce production will be achieved at the end of 1H 2022.
Will AXU be given a 10x multiple, 20x multiple, 30x multiple?
And remember, the earnings above or pre-tax earnings.
I would be interested to hear peoples thoughts about AXU future valuation as well as flaws in my assumptions.