RE:RE:RE:Silly valuation!I'm in the U.S., so I value stocks using the USD. At the current bid (C$0.235), SMD has a market cap of ~US$20mm. SMD owns 15mm shares of Terra CO2 that, given the value accorded Terrs's second round of financing completed earlier this year, are valued at ~US$15mm. Add in the 5mm warrants SMD owns (exercisable at C$0.25) and BINGO! SMD's investment in Terra CO2 is roughly equal to SMD's current market cap.
In other words, these other items held by SMD are worth ABSOLUTELY NOTHING; ZILCH;, ZIP; NADA; ZERO, to the market:
- ~35% ownership of Broden Mining;
- ~US$5mm in cash:
- Investments in shares of Silver Range Resources, Rockhaven, GGL Resources, Precipitate Mining, & Honey Badger Exploration;
- Other stock holdings and their investment fund;
- The future value of their royalties; and,
- Over 100 choice properties available for option in one of the best mining jurisdictions in the world (the Yukon).
Here's another quote from Warren Buffett: "
As far as I am concerned, the stock market doesn't exist. It is there only as a reference to see if anybody is offering to do anything foolish."
SMD's current valuation is
beyond foolish, it's ludicrous. I don't care how far down in price it is relative to its past, it's now a shockingly compelling value. I'm buying as best I can, selling assets I hold dear to buy more as the price has floated lower. And I'm not done, yet.
GLTA, F1