Excellent BUY on Fair value..Dividend is gravyVery simple analyses of fair value.
AISC is just below $800 US per ounce which ranks in the lowest 10 %.
50,000 ounces per year with excellent production upside
Assuming $1800 POG, RBX is free cash flowing ( $1800 minus $800 ) times 50,000 ounces which equals $50 million US per year or about $68 million cad ( 12 cents cad per share ).
That is, RBX is trading at less than 4 times free cash flows while its peers trade above 12 times free cash flows.
These analyses suggest that RBX is grossly undervalued, with adiscounted fair value approaching $0.90 per share.
Its throwing off so much free cash flow that it can pay out perhaps $50 million per year in dividends...more as production increases