Pacific Gold Corp fka PCFG

[stervc]

PCFG Market Cap Analysis as of 11/12/10…

(Edited from earlier Market Capital Analysis on 11/08/10.)
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=56459556

First read the post above to compare the changes below to see the differences. Then know that as of Friday, 12 Nov 2010, the current Market Capital (MC/Market Cap) for PCFG was approximately $27,518,108 which was derived by multiplying the current share price as of close of market on 12 Nov 2010 of .037 by the current Outstanding Shares (OS) amount of 743,732,651 shares. Observe…

.037 Current Share Price x 743,732,651 (OS) = MC
$27,518,108 = MC

PCFG has $1,513,590,000 worth of proven, probable, & potential resources as explained within the link below to derive what I will call the ”Maximum Prospective Market Cap” for PCFG:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=55257940

The ”Maximum Prospective Market Cap” for PCFG = $1,513,590,000

This is where PCFG would be worth a ”potential future unknown share price” multiplied by the OS of 743,732,651 shares.

Now let’s determine the ”potential future unknown share price” for PCFG with taking under consideration if it proves and obtains its full $1,513,590,000 worth of resources. To do this, as you can see, to derive the current price of .037 per share, we had to take the current MC of $27,518,108 and divide by the OS of 743,732,651 shares as indicated below:

$27,518,108 ÷ 743,732,651 (OS) = .037 current price per share

From here, I’m going to do this a little different than that of the original Market Capital post to derive where PCFG could fundamentally trade. This means that PCFG is "potentially" trading approximately 55 times below its present value as derived from below...

$1,513,590,000 Future Market Cap ÷ Current Market Cap $27,518,108 = 55 share price multiple

Current price of PCFG = .037 per share
Share Price Multiple = 55

.037 x 55 = $2.03 per share

The Market Capital Analysis is a different fundamental assessment than that of deriving the EPS and P/E Ratio fundamental assessment. Still, the Market Cap Analysis for PCFG reflects an undervaluation share price for PCFG up until it reaches $2.03 per share. Also, this is considering they capture the valuation in one year versus over the entire life of their mining operations. Even if it takes a year or two or more, it still would justify trading at prices higher than where we are at today. Please, I recommend all to do their own due diligence (DD) to determine their own personal beliefs for PCFG. Still, my beliefs are very positive.

v/r
Sterling