Petaquilla Minerals Ltd. (fka PTQMF)

[Lojiko]

Comparing PTQ/MF to Other Miners

I agree with your post, ponce, except I'm skeptical of the statement, "we are a cut above the rest in our sector". Are we? How do we know?

I'd like to think we're a cut above, but I honestly don't know. I don't have much time to follow other stocks, so PTQ is about all I know. The future looks promising for PTQ, but I don't know how we compare with others in our sector.

There used to be a really great comparison of PTQ to similar gold miners, in the iBox. It got old and I never updated it, so I took it down, but it was a good analysis put together by 1BestPicks on SH. I think I still have it if anyone wants it.

Unfortunately, there are few good comparisons, like that one, on the internet. We're still listed on Kitco's Metals & Mining Analysts' Ratings & Estimates - Juniors . We used to have a top score of 1.0, but we haven't had a rating on there in many months and I'm not sure what that means. At least we're listed. If anyone were to put together another comparison like 1BestPicks did, I think that would be a good place to start.

Mining Almanac puts together the best comparative metrics I've seen, but their info on PTQ is often dated. They still don't have our Q1 or Q2 2013 statements included, so it's unlikely they have our updated reserves included either. According to them, our ROE and PE are better than 97% and 87% of similar companies, our EV/Revenue and EV/CashFlow is better than half, but our EV/Resource is only better than around 20-32% of similar companies. That should change in our favor as more M&I resources are upgraded to P&P reserves. The last time I checked, tho, they still considered us an explorer. That's because of the criterion they use to decide who's a producer and has nothing to do with whether the company is actually a producer or not.

E*Trade places us in their middle quintile, so about in the middle in terms of performance. We really shine in the Management Effectiveness category in that "Return on Equity for PTQMF shows that it is able to reinvest its earnings more efficiently than 96% of its competitors in the Gold & Silver industry", but we suffer in the valuation category in that "P/E Ratio is lower than 65% of other companies in the Gold & Silver industry". Personally, I think our PE is a good thing in that it demonstrates that we're under-valued, but another way of looking at it is that investors aren't willing to pay more for our stock.

Overall, I think we're in a good position and I'm looking forward to our performance in the second half of calendar 2013. There are updated reserves to look forward to; increased production; increased sales due to increased production (regular and heap-leaching) and the retirement of the DB fwd purchase agreements; bringing our Iberian resources into first-stage production; the spin-out of PDI; and a potential land deal that could send us 'to da moon!'.

That's enough to keep me hanging on for another year, but when we say things like "we are a cut above the rest in our sector", we also need to ask ourselves, "How do we know for sure?"

PS - How did we close even today? It's nice to see we didn't lose ground, but we've been correcting for about six trading days now. In other news, the YoY return on physical gold is -4%. When physical gold isn't turning a profit, miners still are, which I think will bring money back into the sector. Perfect Storm, anyone?