Bayside Corporation (BYSD)

[stervc]

TBEagl, with your great BYSD post...

Great post! Also, I meant to tell you and smpark thanks for posting that organizational chart below as it has helped me to be able to derive how BYSD is currently fundamentally worth .006 per share, but could be worth .80 and up to $4.44 per share from the valuation I have derived from related data compiled even without them doing a reverse split as I will further explain how I derived such:
http://investorshub.advfn.com/boards/replies.aspx?msg=63123240

Bottom line... when you don’t know “what is” about a stock, you can’t say ”what is not” about a stock. When you don't have certain thoughts officially confirmed/released, you have no choice except to ”speculate” to derive at ”what is.” I think all of you who are pro or con BYSD have some made some valid points to consider. Until we get news negating some of the negative, it must still be considered… at least as an option for transpiring.

Everyone's thoughts should be respected. One must also know that just because something negative or positive transpired in one stock does not guarantee that it will happen just the same in another stock. Investing is not personal and should not be personal within these forums regardless of any stock as none of us are nothing more than shareholders or potential shareholders sharing thoughts. None of us are Officers and Directors of BYSD so none of us will have any control of the success or failure of BYSD.

Based on the due diligence (DD) you and others have posted, BYSD is beyond being an exploration company and is in ”production” and ”operational” modes where they are selling gold. So far, it has been mentioned that BYSD has sold 250 bars of gold. That itself will be very huge once “officially” confirmed. Each bar was mentioned to have been 16oz per bar. That’s a total of…

16oz x 250 bars = 4,000oz of gold

The current price of gold last I checked was $1524.80 which can be verified from the link below as it will fluctuate:
http://www.kitco.com/charts/livegold.html

It was mentioned within the forum that they have 250 gold bars of which all them have been sold to a buyer at a 40% discount.

$1524.80 – 40% = $914.88 per oz

At $914.88 per oz, production cost in 2010 was $585 per oz from the research posted below courtesy of a poster named tide8888:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=63420000
http://www.im-mining.com/2010/11/30/average-gold-mine-cash-costs-rise-4-to-585oz-in-q3-2010/

Revenues = $914.88 x 4000 oz = $3,659,520
Net Expenses = $585 x 4000 oz = $2,340,000

Revenues – Net Expenses = Net Income

$3,659,520 - $2,340,000 = $1,319,520 Net Income

Net Income ÷ Outstanding Shares (OS) = Earnings Per Share (EPS)

$1,319,520 ÷ 2,526,864,580 shares = .0005 EPS

Now let’s factor in the PE Ratio. To understand the importance of the PE Ratio, the link/post below might help a little:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=57154170

To determine where BYSD should fundamentally trade just based on its ”actual” valuation from just this one deal, let’s use 12 as a PE Ratio which is typically considered being conservative:

12 PE Ratio x .0005 EPS = .006 per share

So, just based on this one deal, BYSD is fundamentally worth .006 per share. The good news about this deal is that this deal I’m sure is considered very minor. I believe that this deal is only something that the company orchestrated to simply test the process with minor amounts of gold being sold before implanting the processing of major amounts of gold sold. I think it was very important for this process to be proven that it works before the conglomerate of mergers take place. The successful execution of this process is what eliminated any doubt of operational concerns and clearly confirmed that an orderly process is in place for the operations before the mergers to confirm that they can now move forward.

Given that ”potential” is the #1 reason why we all buy a stock within the market, the .006 per share amount is only a small portion of the worth of BYSD. It is only the part that is ”known” as we know not the ”unknown.” The ”unknown” is the value of BYSD after the conglomerate of mergers consummates. This is the unknown variable that could justify BYSD being worth the .80 per share that some have speculated to be the value of BYSD after the completion of the conglomerate of mergers without exercising any reverse split. I have been in a great many mining companies that were successful and unsuccessful with achieving their business objectives. I must say that given the 20 companies (not all mining companies) that are under the control of BYSD, I do see where such share price is achievable even within their current share structure of 2,526,864,580 shares. Let’s observe further to analyze BYSD’s potential based upon just merging a few of the companies that fall within their umbrella of control below…
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=63127260



Gem, Inc. and the Mary Ann Canyon Gold Mine

The link below has some solid info about Gem, Inc. which is one of the gold companies under the umbrella of control of BYSD. Gem, Inc. has identified a placer site within its Mary Ann Canyon property known as the Mary Ann Placer Property and has secured a 50 year contract to begin mining it with Hardrock Exploration & Mining, Inc. Within the Mary Ann Placer Property is the Mary Ann Canyon Gold Mine. This gold property within the Mary Ann Canyon is considered to have an in place recoverable value of $943,133,000 of gold and an inferred recoverable value in place of $3,610,928,000 of gold. That’s a combined total $4,554,061,000 of recoverable value. To verify the data above, please refer to the link below under the Company Overview, Summary, and the sections 2.2, 3.6, and 4.2:
http://www.nationsmarketing.com/files/2-Info_MaryAnn_Ely_HardRock.pdf

The data is considered very legitimate in my opinion because it was derived from reports completed by Teck Corporation which trades on the NYSE under the ticker of TCK at $49.00+ per share which below is Teck’s website and stock info:
http://www.teck.com/Generic.aspx?portalName=tc
http://finance.yahoo.com/q?s=TCK&ql=0

Towards the bottom of the link below, a picture of the Mary Ann Canyon Gold Mine within the Mary Ann Placer Property is provided:
http://www.national-gold.com/exhibita.htm


I think important to note is that having a placer mine is a lot easier to mine operations versus the traditional hard rock mining. The alluvial mining processes for gold are much more accessible for retrieving gold.



Cosmic American Rare Earth, Inc.

Cosmic American Rare Earth, Inc. is listed to be doing a $50 Million Wall Street IPO as indicated below within the BYSD Organizational Chart:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=63127260


I’m not sure of any of the details relating to the IPO, but instilling a $50 million IPO into BYSD would add huge valuation into BYSD. Apparently, something has been confirmed in my opinion. As you can also see from the BYSD organizational chart, where you see “Bayside” and/or “Bayport” within any of the links within this post, they are synonymous. Bayport Corporation is what will be the new name upon approval of the conglomerate of mergers.



The Gilded Lady Gold Mine

The Gilded Lady Gold Mine is another gold mine that is expected to be part of the conglomerate of mergers.

http://cemg.co/about-2/

Cosmic Energy Minerals Group (CEMG ) is 100% debt-free company formed to exploit the various precious minerals in the U.S. and Canada and to acquaint the public with practical investment opportunities in strategic metals and minerals. …

…Today, the price of gold is at an all time high !! Our first mine, the Mary Ann Canyon Gold Mine near Ely, NV is at the base of the tallest peak in Nevada, Mt. Wheeler; and our new gold mine is about 300 miles from there. We call it “The Gilded Lady.” We presently have a crew of 6 miners on maintenance mode for the winter months. We’ll be up and running again on both mines in the Spring of 2011.

(CEMG) is a wholly owned subsidiary of Bayport Corporation. Bayport Corporation is a multi-faceted holding company active in strategic metals and precious minerals, energy production, wholesale seafood sales, natural foods processing, health and beauty products, digital media services and network marketing.

http://cemg.co/2011/01/23/for-immediate-release-1-24-2011-las-vegas-nevada/
…With the current assays in hand and continued positive results from CEMG ’s testing, the company expects to turn 5000 tons of earth per day times 0.324 / ton x $1370/oz in gold alone. CEMG’s Daily yields for raw gross product could approach $1.5M in sale-able bullion per day. …

$1,500,000 x 365 days per year = $547,500,000 in bullion per day



In summary, I’m not sure of all the companies that will be part of the final conglomerate of mergers to make the new BYSD, but so far, it appears that there is going to be some very significant companies of value transformed into one. It was again confirmed below that the companies within the organizational chart below are under the same BYSD umbrella of control:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=63127260
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=63461472

Investors have been wondering how BYSD can be valued to be worth .80 per share. From the DD above, I can now see how. Let’s add up the valuation from the Mary Ann Canyon Gold Mine, Cosmic American Rare Earth, Inc., and the Gilded Lady Gold Mine.

Mary Ann Canyon Gold Mine = $4,554,061,000
Cosmic American Rare Earth, Inc. = $50,000,000 IPO
Gilded Lady Gold Mine = $547,500,000

Total BYSD Potential Valuation = $5,151,561,000

Considering that BYSD has secured a 50 year contract with 50/50 split terms to begin mining their properties with Hardrock Exploration & Mining, Inc., I would guess that the $5,151,561,000 value for recoverable assets of gold that BYSD has coming to them will be in the area of $2,575,780,500. Now let’s use the same valuation formulas I used above to derive an earlier EPS for BYSD to consider if the conglomerate of mergers get completed as we expect…

It was explained from above that BYSD will be selling their gold at a 40% discount. It was also explained that the Net Expenses equated to $585 per oz of gold. With the price of gold currently being roughly $1524.80 per oz, that’s a 61% profit margin. That means…


Revenues = $2,575,780,500 – 40%(or .40) discount = $1,545,468,300
Net Income = 61%(or .60) profit margin x $1,545,468,300 = $942,735,663
Outstanding Shares (OS) = 2,526,864,580 shares

Net Income ÷ Outstanding Shares (OS) = Earnings Per Share (EPS)

$942,735,663 ÷ 2,526,864,580 shares = .37 EPS

Now let’s again factor in the PE Ration. To understand the importance of the PE Ratio, the link/post below might help a little:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=57154170

To determine where BYSD should fundamentally trade just based on the completion of the conglomerate of mergers, let’s use 12 as a PE Ratio which is typically considered being conservative, especially for the gold Industry as from what you can see from the link below, it would be fair to consider using 28.20 as a fair PE Ration:
http://biz.yahoo.com/p/134conameu.html

12 PE Ratio x .37 EPS = $4.44 per share

I was trying to reflect how BYSD could be justified for being worth .80 per share, but doing my DD based on what is known from the companies that fall within their umbrella of control, as you can see, BYSD could very possibly be well worth some prices far greater than .80 per share up to the $4.44 per share area. Again, this is if the conglomerate of mergers transpires with such confirmed valuations from the data that is out there to review.

There have been many successful reverse mergers and gold stocks that had proved to be worth their weight in gold. BYSD could be the next one in queue. The first successful gold stock that I was invested into that comes to mind is GORO which trades on the AMEX. I was in GORO a few years ago and I can recall when it was at its bottom and has now grown to hit a high this year of over $31.00+ per share. Heck, the IBox is still the same as I had created way back then with still reflecting its $31.00 per share target price. It took a few years for it to happen, but it happened. Some friends I had gotten in GORO thought that I was a Hero, but little as they know, there were other mining stocks that didn’t work out so well where other investors thought that I was a Goat. I say this to know that the outcome here in BYSD will have nothing to do with what any of us think whether we believe or not believe regardless to what good or bad that happened in stocks in the past. The outcome will be predicated upon the substance delivered by the company and not on how either of us feels about what will happen.

Please understand, with over 90% of the penny stocks failing within this market, the odds are always in the favor of those not believing, but that doesn’t mean that such positive beliefs won’t transpire here with BYSD. Still, there will always be a balance between belief and when/if the price starts to increase with what substance is being generated from the company to justify any huge price increases. I’ve been in many stocks where the price of a stock increases because of people learning about a stock’s ”potential” to only come back down once it is discovered that such ”potential” will take lots of time to obtain or never existed.

For those that might have doubts… I understand. Just know that the info above I complied to reflect such share prices is not something that I created. I only compiled the data into something that I see through my eyes for what very well could be here in BYSD.

In some stocks… tomorrow never comes… however, in some other stocks… tomorrow does come. I’ve made the decision to wait it out here with BYSD in hopes that tomorrow will come.

P.S. – The valuation thoughts did not include the REEs which would add even more value to the growth of BYSD.

BYSD commentary about REEs (Rare Earth Elements):
http://cemg.co/2011/01/18/rare-earth-minerals-excerpts-from-business-trade-publications-cemg-commentary/

v/r
Sterling