Quote from: silverfuture on September 03, 2012, 03:13:22 AM

Quote from: zef on September 02, 2012, 03:59:37 PM

imo this is the most undervalued mining stock right now. the stock is almost fully verified and if you do the math on the dividends per currently paying share, you are getting 3.5% yield per week at current prices. do the calculation on paid out shares and you are buying the equivalent of 10 mhash per share at this difficulty, and its not even a fixed mhash bond. Compare this to other mining stocks and it blows them out of the water.

There are a couple drawbacks though: the issuer holds 60k shares that could be dumped on the market at any time, so this adds a little uncertainty for future price and payouts. Also people don't know much about the issuer, not much reputation, so I think that scares some people off.

Great analysis. I agree with the exception that should the new motion pass it will bring dividend down to 2.5% with the remaining 1% added to expansion of farm. I see that as a positive though as it should keep dividend up as difficulty increases. If the issuer is transparent and communicative I can see this being a very popular security as reputation increases. I am a little concerned with the buyback option in the contract and it seems like it has been used before as there have been fewer shares payed out some weeks than previous weeks in the dividend record.

The motion isn't very clear: 2.5% relative to IPO price, or current price? We are already near 2.5% relative to 1 BTC IPO price. And what is "current" price, since it went from 1 to 0.75 in a week?