Info only10 Jan 2024 21:38
Quite a few years ago a mate of mine did a punt on Sol gold at 1p it went over 43p and valued company at 700m. Their current market cap is £238m and they have 3billion shares in issue at 7p. We all know that the miners have been severely depressed for last several years. Some experts say that the miners have never been as cheaper in last 40 years. lots of them 90% down and more. While bitcoin explodes the miners have sunk massively, The us stock market also exploded and gone from 5,000 to current 38,000 in 15 to 20years thats a several fold increase.
The uk stock market in same time 20years has barely gone up. What does this tell us. Is the us stock market over valued. Gold has doubled in last 10/12 years from a low of around 1100 to current 2030ish. the gold to dow ratio has been as low as 1/1 3 or 4 times in last 100years. its current ratio is 19/1 infavour of the dow. In 2011 it was 6/1 so either gold is massively undervalued or the dow is massively overvalued.
Some on here say omi is fully valued in comparison to other companies but i say we are in a massively depressed market atm and at some point the miners will explode thats why smart investor like singred is buying and holding.
GGP went from nothing to 1.5Billion market cap. Im first to say it was massively over valued as it was valued alot larger than most 200k and 500k producers at the time.
As seinged says you have to compare apples with apples which is true but the market is massively depressed and at some point it will explode and omi could be worth alot more than £5m to £10m current valuation.
As Ive said before the board will need cash, to support other omi projects and so will need to raise lots of shares during the year. So as bhargav says the news flow will come in Q2. Also we need a good JV partner who will want a large piece of the Anza if they gunna sink in millions to drill it.
It would be nice to see the directors dig deep and put their own cash in the open market as opposed to just issuing themselves with share options. the price in last few years has dropped from 40p to 2p so I say Brad louis put your hands in your pocket and show faith like the rest of us and dig deep, people will respect you more if you did.
Good luck all.
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