Your point about these revenues being in US dollars is certainly a good one which I neglected to compute.(It was after midnight...enough said!) Taking from my original post lets see where this leaves us.
The total revenues for the year will be $2,773,500. $4,021,575 ca
Now lets see who owns what of this revenue. Go back to our original table.
PVF 10%..........$277,350 $402,157 ca
PXM 40%.........$1,109,400 $1,608,630 ca
EM 30% ...........$832,050 $1,206,472 ca (not including the 20% portion belonging to Br.Co)
and
Br. Co. 20%.........$554,700 $804,315 ca
Lets now look at the revenues per shares and the price to revenue ratio (PR ratio) using Canadian dollars.
PVF...R/S approximately 1.5 cents...PR ratio 49.30
PXM...R/S approximately 18 cents...PR ratio 10.50
EM...R/S approximately 5 cents...PR ratio 5.00
It is easy to see that EM has the best PR (price to rev) ratio and is approximately 10% of the PVF PR ratio. When the market recognizes the value in EM and begins to price it closer to the PVF PR ratio, EM will experience a tremendous growth in share price. If we assume that only 30% of the price of PVF is atributable to the Brazil interest then we can see at least a triple in share price for EM based upon the current PVF share price.
Again I add that one must remember that the value of PXM is also increasing the value of PVF. 55% of it's market cap is to be added to the market cap of PVF. If we assume the market is valuing the PMX portion of PVF accurately, I calculate that about 23 cents of the current PVF share price is directly related to PXM. (Personally I don't think PVF is getting full credit for PXM yet) Bottom line is EM will be pulled up by PVF and PVF will be pushed up by PXM. So there is a lot more value to come in all of these companys.
Ray |
