MJS valuationThere are many different ways to determine the value of a company.
The Discounted Cash Flow Model (DCF) is internationally recognised, among others.
I can recommend the calculation of: https://simplywall.st/stocks/ca/materials/tsxv-mjs/majestic-gold-shares/valuation
under point 1, their is a fair value (0,22 CAD) and you can click on "data" which gives you the detailed calculation. - the method takes into account the profit share of MJS
- the method does not take into account the enormous cash position of the group
- the method does not take into account the expected increase in production for 2025 due to the anticipated completion of the mine expansion
- the method does not take into account the existing resources and the planned acquisition of new mining assets =
- Cash
+ resources
+ life of mine
+ ounces of gold produced
It is very difficult to determine the "true" current value of the company taking into account future developments.
A valuation based on the dividend yield would be simpler and, in my opinion, more appropriate. I have set out my opinion on this here:
https://stockhouse.com/companies/bullboard?symbol=v.mjs&postid=35877436
0.005$ dividend could bring us to 0.15$ per share with a dividend yield of 3.33% and would cost around 5mio Us Dollar
0.007$ dividend could bring us to 0.2$ per share with a dividend yield of 3.5% and would cost around 7mio Us Dollar
0.01$ dividend could bring us to 0.3$ per share with a dividend yield of 3.33% and would cost around 10mio Us Dollar
The most important thing is that we finally have a professional MGM that can meet its own milestones and finally tell us how we can benefit from the
- the success of the company in the last 3 years
- from the IPO of PRG
- and from the future activities of the company group.
15 weeks after the IPO of PRG and the removal of all associated restrictions and 10 weeks after a meesage from CFO Mackie that shareholder value was discussed and a statement will come and there is still nothing! 15 weeks! it is unf##king believable
I know i am a broken record here, but this is not acceptable by any means. Not for Fischermens Fritzies HotDog Stand and esspecially not for 200K salary and a compnay with 100 Mio Cash. This MGM is a disaster period.
The questions is, why is the small rich shareholder majority accepting this? As long as we get just nothing, not even a plan for the future...just plain nothing.... our ture value is 0.
Best Richard