Take physic, pomp

How cheap is Radius Gold (RDU.v)? (now updated with otto dumbass alert)

RDU.v, from the date of IKN17 to today
IKN17 did a full fundy report on Radius Gold (RDU.v) and since that time the stock is up nicely. But to give you and idea of how undervalued the thing still is, consider this:
  • At its current 22.5c share price, RDU.v has a market cap of $12.05m
  • RDU.v owns one million shares of Focus Ventures (FCV.v)
  • Focus Ventures is currently trading at 84c
That means $8.4m of RDU.v’s current market cap of $12.05m is covered by that investment alone. So the $16.8m in assets as booked in 2q09 are currently being valued at just over $3.6m.

Next question?

UPDATE: Oh jeesh, my biiiig bad. More coffee needed and a brain replacement. Reader EA has just whacked me over the head with the obvious, that 1m X 0.84 = $840,000, not $8.4m. Therefore this post is in the world of EpicFail. Thank you ‘EA’ for the mail and the correction and my apologies for being stooooopid, I shall leave the text as stands as tribute to my own dumbassery.

Update November: A warm welcome to all the dumbasses from Germany’s “WallStreetOnline” idiots club.

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