Wpgmoney,
I call BS, the number of shares outstanding must be considered, "rules of thumb" don't work that simply.........i am sure alot of you recall the discussion from yrs past when Peter Hodson from Sprott management was on BNN. Peter gave a formula that was a quick way some analyst would evaluate an equity gold share. I am not sure if it was for a producer or exploration Co, so next time a caller gets thru may-be a question could be ask. The way i understood the formula at that time in 2008 was, 43-101 divided 20 % x $ 1250. / 300 million shares. So an example would be , 3,000, 000 mill 43-101 / 20 % = 600,000 oz x $ 1250.an oz = $ 750,000,000 mill / 300,000,000 shares = $ 2.50 a share at to-days prices. I am sure this is not viewed in the same way by all or i may have misunderstood at that time so ask Bill or Peter or any BNN pumper what formula they use for equity pricing. Yes i due understand alot of other factures come into play here, he said this was a quick formula used . With out predjudice. Long On The GoldenFairWay, Traps7
