InvestorsHub Logo
Followers 12
Posts 1223
Boards Moderated 1
Alias Born 07/15/2006

Re: Fonzy35 post# 29829

Thursday, 09/14/2006 6:15:50 PM

Thursday, September 14, 2006 6:15:50 PM

Post# of 56764
Fonzy35, I like your analysis and I know you are as conservative as not to use industry PE ratio. However, if we were to use an average industry PE of 30, then, from the numbers you provided, it would look like this, if all stands to be true:
5 = 0.25/?
0.25 / 5 = 0.05 as EPS
Therefore Industry PE of 30 = PPS/0.05 = $1.50 PPS (from the XYZ Gold Mine alone and using your gold price of $500/ounce)