AEE 2.94% 16.5¢ aura energy limited

Lets review Preempts strategy....likely averaging in as the...

  1. 88 Posts.
    lightbulb Created with Sketch. 105

    Lets review Preempts strategy....likely averaging in as the price drops with perhaps a 1.9c average cost.

    PDN declined by 90% plus from 2000 through 2003 lows, then recovered in less than 12 months (869x from the low). If one didnt average in, then one probably missed this once in a lifetime opportunity.

    When the Uranium spot hits $32 Preempt will be at break even; at $65 Preempt will be up 5-8x.....at $100 well Preempt will have shown us all how investing should be done.

    A pre-production uranium miner with good project economics will in a peak year achieve $50m cashflow for every 1 million pounds of capacity, on a commencing market cap of less than US$20m the returns are likely to be extraordinary. To participate in a meanful way an accummulation strategy is best to ensure a reasonable average entry point. Given AEE is now the best value play globally (lowest market cap for pounds in the ground on best project economics); a purchase strategy of averaging in from 0.6c to 1c over 12 months is probably a safe averaging in strategy.

    With regards to the con note or further dilution - assuming the DFS is as expected, then it depends on the timing of the spot price move as to whether these are issues or become immaterial.


 
watchlist Created with Sketch. Add AEE (ASX) to my watchlist
(20min delay)
Last
16.5¢
Change
-0.005(2.94%)
Mkt cap ! $112.6M
Open High Low Value Volume
17.0¢ 17.0¢ 16.5¢ $937.0K 5.656M

Buyers (Bids)

No. Vol. Price($)
28 986804 16.0¢
 

Sellers (Offers)

Price($) Vol. No.
17.0¢ 2941 1
View Market Depth
Last trade - 16.10pm 29/03/2024 (20 minute delay) ?
Last
17.0¢
  Change
-0.005 ( 1.49 %)
Open High Low Volume
17.0¢ 17.0¢ 16.5¢ 96316
Last updated 15.59pm 29/03/2024 ?
AEE (ASX) Chart
arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.