Silver Hammer Mining Corp. — Valuation (post-dilution, 136.7M shares)
Assumptions (silver = USD 100/oz, gold = USD 4000/oz, multiple 7×, 35% margin, 3 years to production, 20% discount rate, FX 1.35). Inflation 7%. Dilution 50% over 3 years.
Net Cash Flow (USD) Revenue = Price × Ounces, Margin = 35%
Recoverable silver Revenue Net Cash Flow
0.5M oz 50.0M 17.5M
1.0M oz 100.0M 35.0M
2.0M oz 200.0M 70.0M
Apply Multiple (7× Net CF)
Recoverable silver Value (USD)
0.5M oz 122.5M
1.0M oz 245.0M
2.0M oz 490.0M
Discount 3 yrs @ 20% (factor ≈ 0.579)
Recoverable silver PV (USD) PV (CAD)
0.5M oz 71.0M 95.9M
1.0M oz 141.8M 191.4M
2.0M oz 283.6M 382.9M
Per-Share Value (136.7M shares FD)
Recoverable silver PV/share (USD) PV/share (CAD)
0.5M oz 0.52 0.70
1.0M oz 1.04 1.40
2.0M oz 2.07 2.80
Summary
- Valuation band (post-dilution, 136.7M shares): USD 0.52–2.07/share (CAD 0.70–2.80/share) depending on 0.5M–2.0M recoverable oz.
- Baseline case (1.0M oz recoverable): ≈ USD 1.04/share (CAD 1.40/share).
- Current market cap: ~CAD 5M (~USD 3.7M). → Still far below scenario valuations, showing the speculative upside if ounces + silver price materialize.
How well do narratives help inform your perspective?
Disclaimer
The user Faltaren holds no position in CNSX:HAMR. Simply Wall St has no position in any of the companies mentioned. Simply Wall St may provide the securities issuer or related entities with website advertising services for a fee, on an arm's length basis. These relationships have no impact on the way we conduct our business, the content we host, or how our content is served to users. The author of this narrative is not affiliated with, nor authorised by Simply Wall St as a sub-authorised representative. This narrative is general in nature and explores scenarios and estimates created by the author. The narrative does not reflect the opinions of Simply Wall St, and the views expressed are the opinion of the author alone, acting on their own behalf. These scenarios are not indicative of the company's future performance and are exploratory in the ideas they cover. The fair value estimates are estimations only, and does not constitute a recommendation to buy or sell any stock, and they do not take account of your objectives, or your financial situation. Note that the author's analysis may not factor in the latest price-sensitive company announcements or qualitative material.