La Mancha Resources Inc LACHF

Still very cheap

[RedHorizon]

LMA's most recent presentation has a great chart in it in which they are shown as being the cheapest gold producer around:  see Slide 26.  (At least the cheapest among the 24 names on the list.)

LMA is trading at 3.2x forward cash flow while the 24 gold miners listed in the chart trade at an AVERAGE MULTIPLE of 12.9x 2011 Cash flow.  LMA is trading at one fourth the valuation of it's peers.  That seems absurd to me since LMA's management is one of the few who actually does what they say they're going to do.  At least within the past 3 years.  Quality management in this industry deserves a premium.


Great success to all gold bulls.

[DetVicMackey]

I think the market discount is due to the location of LMA's 4 mines. Ity is in Cote D'Ivoire which has periodic civil unrest. Hassai is in Sudan and have similar issues. White Foil and Frog's Leg are getting hit with higher costs due to the Aussie super-tax and stronger AUD. While all these are causes for concern, the discount is just too much and I think an opportunity exists on

[lhorns]

I think they are cheap because of their tight share structure.I use to think having Areva was a benefit but it doesn't seem to have helped us.Them owning 90 mil shares only leaves a float of about 54 mil.Tough for institutions to accumulate  large positions without driving up the share price.It is rare that we trade over 1 mil shares a day 300,000 to 500,000 is a big day.

[jimrabbit]

this is one weirdo stock - behaves much more like krystallex than a "gold" stock -