RE: It's not rocket science12 Feb 2022 09:23
@OnlyOneShareMe, I can see where your coming from and a few other commentators: 1+2=3 (SP)
But that's not how the stock market works, every share that's risen over 1000% hasn't done it on the balance sheet or drill results, they've all done it on the INTRINSIC VALUE.
People buy for the future worth all the balance sheet and drill results does is just underpin the belief in the intrinsic value of a company share.
What's the main driver of intrinsic value? MARKET SENTIMENT.
If the market sentiment believes the company is worth 10 times higher it will drive the SP higher.
In less than 6mnths the company has:
Increased it's group resource 250%
Increased it's production 100%
Increased it's group portfolio 100% by making an acquisition
The company is expanding rapidly, where does it say it won't do the same in the next 6mnths?
because I can only see:
100% further increase in resource
100% further increase in production
100% another acquisition
Currently I value the company around 2.6p so it's well undervalued with my calculations.