Risk factor
Very high price volatility
Profitability factor
Greatly overvalued vs peers
About
Vanstar Mining Resources Inc. engages in the acquisition, exploration, valuation, and development of mining properties in Canada. It primarily explores for gold deposits. The company's flagship property is the Nelligan property that includes 158 cells covering an area of approximately 8,216 hectares located near Chapais in Abitibi. It also holds interests in the Amanda property located in Quebec; the Felix property located in Quebec Abitibi Greenstone Belt; and the Frida and Eva properties located in the James Bay area. In addition, the company has an option to acquire a 75% interest in the Bousquet-Odyno property, which comprises 37 contiguous mining claims covering an area of 1492.43 hectares located in Quebec. The company was incorporated in 2007 and is based in Montreal, Canada.
Company Valuation
Based on key historical and expected multiples, the stock is greatly overvalued relative to its peers. Specifically, the stock is