Replies to post #20855 on Southcorp Capital Inc (STHC)

[crossball]

great post.

more from Hercules twitter..

https://twitter.com/nxtplse/status/1291930703492452353/photo/1

[elks]

Excellent post must read. Thank you.

[skichic]

Great explanation. It’s amazing how many trade stocks and don’t understand PE ratios. I encourage those people to go to whatever brokerage they are using and check the PE ratios for companies like Tesla (over 750) and Amazon (121) or a company like Halliburton that trades for near $15.00 a share and has NO PE ratio because they lose money.

[Zardiw]

Very nice analysis! I think the $4.4 Billion in Graphite reserves (An Asset) should be taken into account....that would give $STHC a huge book value...

z

[findit]

Good post. You have much talent for making what is complicated very understandable. I am sure many will take this analysis to heart and use it, not just with STHC, but other stock holdings.

[gdog]

Yes I did mean o/s and corrected that post in post #20267. I'm sure your post is correct with pps evaluation . But there are a ton of issue that could come up long before we could hope for a share price that high.. I simple used o/s and 19m ebitda which I will use as a guild for pps this coming wk ... I believe my figures would be a lot more accurate than most of the price prediction I have read on the thread..

glta

[BMoeSki]

POST #20855 By StervC Needs to be stickied ASAP. Excellent post as always old friend. God Bless

[cjstocksup]

This is also why STHC could see dollars ahead We have a low float lower than the OS, no dilution and the company is worth way more than any of us thought as far as this initial DD below.

This means that to derive a fundamental valuation for which STHC should trade within the Metals & Mining Industry, we would need to multiply its EPS by the Price to Earnings (P/E) Ratio for the Metals & Mining Industry to get below:

.0514 EPS x 36.92 PE Ratio = $1.89 per share valuation for STHC

Some might want to go a little conservative to air on the side of caution and consider 15 for a conservative PE Ratio then observe below:

.0514 EPS x 15 Conservative PE Ratio = .771 per share valuation for STHC

With the logic that you posted, you are basically using a PE Ratio of 1 to get your value of .05+ per share of which assumes that there is absolutely no growth within the Metals & Mining Industry which is absolutely not the case. The 36.92 number that is used for the PE Ratio was created from 92 companies that are "profitable" companies within the Metals & Mining Industry as provided within the link above. So, it's actually fair to use 36.92 for the PE Ratio as there is evident growth since so many companies within the Industry are profitable.

This means that STHC should grow at a rate that is the norm for the stocks within its Industry of which it exists based on the positive factors for growth that currently exists.

For those new for understanding what a P/E Ratio is and key dynamics as it is referred to being the growth rate for a stock as it exists within its particular Industry, read the links below that hopefully will help one to see how it's used to assess the fundamental valuation of a stock:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=57154170
http://www.investopedia.com/terms/p/price-earningsratio.asp

To further articulate what I explained above, look at many of the major market stocks such as MSFT, CSCO, QCOM, AAPL, etc. Look at their Earnings Announcements and see how low their EPS is compared to the dollars per share price that those stocks are trading. They trade much higher than their EPS because the market takes into consideration their growth rate for their Industry or their PE Ratio for which they exist. Hopefully this helps more investors to see how such works.

v/r
Sterling

[cjstocksup]

This is also why STHC could see dollars ahead We have a low float lower than the OS, no dilution and the company is worth way more than any of us thought as far as this initial DD below.

This means that to derive a fundamental valuation for which STHC should trade within the Metals & Mining Industry, we would need to multiply its EPS by the Price to Earnings (P/E) Ratio for the Metals & Mining Industry to get below:

.0514 EPS x 36.92 PE Ratio = $1.89 per share valuation for STHC

Some might want to go a little conservative to air on the side of caution and consider 15 for a conservative PE Ratio then observe below:

.0514 EPS x 15 Conservative PE Ratio = .771 per share valuation for STHC

With the logic that you posted, you are basically using a PE Ratio of 1 to get your value of .05+ per share of which assumes that there is absolutely no growth within the Metals & Mining Industry which is absolutely not the case. The 36.92 number that is used for the PE Ratio was created from 92 companies that are "profitable" companies within the Metals & Mining Industry as provided within the link above. So, it's actually fair to use 36.92 for the PE Ratio as there is evident growth since so many companies within the Industry are profitable.

This means that STHC should grow at a rate that is the norm for the stocks within its Industry of which it exists based on the positive factors for growth that currently exists.

For those new for understanding what a P/E Ratio is and key dynamics as it is referred to being the growth rate for a stock as it exists within its particular Industry, read the links below that hopefully will help one to see how it's used to assess the fundamental valuation of a stock:
investorshub.advfn.com/boards/read_msg.aspx?message_id=57154170
http://www.investopedia.com/terms/p/price-earningsratio.asp

To further articulate what I explained above, look at many of the major market stocks such as MSFT, CSCO, QCOM, AAPL, etc. Look at their Earnings Announcements and see how low their EPS is compared to the dollars per share price that those stocks are trading. They trade much higher than their EPS because the market takes into consideration their growth rate for their Industry or their PE Ratio for which they exist. Hopefully this helps more investors to see how such works.

v/r
Sterling

[goingUPagain]

Nice dd sterling! Will peruse more this afternoon- looks good at first read- gonna do more today!

[samsamsamiam]

AMECA Mining
@AmecaMining
·
Aug 13
# clarification on previous tweet # awaiting NI 43 report for numbers verified # just trying to protect shareholders #


AMECA Mining
@AmecaMining
·
Aug 13
# buyer beware # structure not yet completed # internal corporate estimates being posted # NI 43 is the structure when released #


AMECA Mining
@AmecaMining
·
Aug 13
# Investor Page # post NI 43-101 # October #


AMECA Mining
@AmecaMining
·
Aug 12
'We have completed the OTC application and are working to compile all financial statements for upload as soon as the application is granted'.

# NI 43 REPORT PENDING October#


AMECA Mining
@AmecaMining
·
Aug 12

Southcorp Capital, Inc. (STHC) Provides Shareholder Update and Announces Change of Control
newsfilecorp.com



———




https://mobile.twitter.com/CKinzbach/status/1294007255235538945/photo/1

“Too much speculation at this stage - wait for the correct reporting in October”

[bidgog7559]

StervC

Any thoughts on what is happening with this stock. We had a nice run and it has just slowly eroded away.

Thoughts. I know your DD has been second to none.

[Calvin Hobbes]

We will be over a dollar on news soon. Load up. Anything under. 10 is a deal imho.

[Closerlook]

This looks great, does the CEO own any stock?

[stervc]

Key to add to this STHC Fundamental Valuation...

https://investorshub.advfn.com/boards/read_msg.aspx?message_id=157482683
Respectfully, these thoughts are how I see things. I think first it is important to understand that the Outstanding Shares (OS) is the fundamental denominator that's used to assess the fundamental valuation of a stock and not the Authorized Shares (AS). I'm thinking though that you used 370,000,000 shares as the denominator in your valuation formula/example as the rounded up number of the OS of 369,462,271 shares even though you called it the Authorized. The confirmation of the OS is below within OTC Markets:
https://www.otcmarkets.com/stock/STHC/security

For inquiring minds, the $19 Million in Earnings (EBITDA) was derived from the company's website as indicated within the post below:
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=157402706

So...

$19,000,000 ÷ 369,462,271 shares (OS) = .0514

So, I do see where you have derived the value of .05+ per share. However, the problem with that is that the .05+ per share value is basically an Earnings Per Share (EPS) amount. This means that you need to multiply this EPS by the Price to Earnings (P/E) Ratio for the Industry of which it would exist to trade. The PE Ratio is basically the growth rate for a stock for its Industry in which it exists.

Let’s take into consideration the Price to Earnings (P/E) Ratio of 36.92 that's indicated within the link below for the Metals & Mining Industry of which clearly this is what fits for STHC:
http://pages.stern.nyu.edu/~adamodar/New_Home_Page/datafile/pedata.html

This means that to derive a fundamental valuation for which STHC should trade within the Metals & Mining Industry, we would need to multiply its EPS by the Price to Earnings (P/E) Ratio for the Metals & Mining Industry to get below:

.0514 EPS x 36.92 PE Ratio = $1.89 per share valuation for STHC

Some might want to go a little conservative to air on the side of caution and consider 15 for a conservative PE Ratio then observe below:

.0514 EPS x 15 Conservative PE Ratio = .771 per share valuation for STHC

With the logic that you posted, you are basically using a PE Ratio of 1 to get your value of .05+ per share of which assumes that there is absolutely no growth within the Metals & Mining Industry which is absolutely not the case. The 36.92 number that is used for the PE Ratio was created from 92 companies that are "profitable" companies within the Metals & Mining Industry as provided within the link above. So, it's actually fair to use 36.92 for the PE Ratio as there is evident growth since so many companies within the Industry are profitable.

This means that STHC should grow at a rate that is the norm for the stocks within its Industry of which it exists based on the positive factors for growth that currently exists.

For those new for understanding what a P/E Ratio is and key dynamics as it is referred to being the growth rate for a stock as it exists within its particular Industry, read the links below that hopefully will help one to see how it's used to assess the fundamental valuation of a stock:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=57154170
http://www.investopedia.com/terms/p/price-earningsratio.asp

To further articulate what I explained above, look at many of the major market stocks such as MSFT, CSCO, QCOM, AAPL, etc. Look at their Earnings Announcements and see how low their EPS is compared to the dollars per share price that those stocks are trading. They trade much higher than their EPS because the market takes into consideration their growth rate for their Industry or their PE Ratio for which they exist. Hopefully this helps more investors to see how such works.

v/r
Sterling

[TheFinalCD]

Jan 17, 2021 Southcorp Capital, Inc. (STHC) Provides Shareholder Update

https://31f856b6-de57-4066-9e5f-3268e24b9557.filesusr.com/ugd/1416ce_70e598828b194cbe9777c2eb01593e09.pdf