Callinan Royalties Corporation CCNMF

share value

[toriddog]

The shares of this company trade at low volumes as I believe most of the stock is held by long term shareholders. They believe that the stock price does not fairly reflect the true value of the company. I note that analyst reports make no mention of the exploration arm of the company being spun off in 2011 . The stock price dropped but shareholders received stock in the new company to compensate. Analyst reports show this as a negative stock performance.

This company has steady cash flow from Hudbay and most of us expect Hudbay will eventually have to buy out the warbaby claim to keep the 777mine income flowing. As the 777mine generates most of their income I for one believe that this outcome is a sure thing!

Many do not share my view that the audit of Hudbay books will result in a payday, but we will see and I don't believe any value from this action is reflected in the stock price. We will see what is the result and this should not be far away.

Toriddog

[CommiePinko]

What analysts reports? And how are these long-term shareholders which I am one of. Ever expect to see their shares trading at fair value if practicly the only ones buying the stock is the company itself. And I say if Hudbay wants to make a deal on the War Baby claims then make a deal with them and get on with it. Because waiting to settle this whole audit thing is in my opinion like watching

[gr8shot]

Maybe HBM has finally agreed to buyout CAA for what it is actually worth, instead of  giving us 4-5million every quarter? One has to wonder?

[olliana]

Perhaps its some of the great work that Roland has been doing behind the scenes to attract investment at these undervalued prices?

[btshooter]

Hey Olliana;  that is a positive thought, however, keep in mind that some royalty companies trade @ 40 times earnings, not 7 as CAA is currently. Recently under Rollands stewardship CAA has traded as low as 5 times earnings. If I was managing a Royalty Company trading @ 40 times earnings, I would buy a position in CAA out of the market then make a bid @ 10 times the company earnings, say $4

[grizz]

Hey Big Shooter, You are a very smart guy but I don't think anybody can get a big chunk of CAA below $6.00 Most of the holders are pretty strong and they know about all the upside so I think they will hang tough.   Grizz

[CommiePinko]

I agree with everything you say BTshooter. The two major royalty companies I'm aware of being Franco-Nevada & Royal Gold both trade well over 40 times their earnings. Much larger companies one can argue but neither generates income in excess of $250 million and both have market caps into the billions. No reason I can see that Callinan couldn't be trading at even half those multiples