Rare earth proxy Molycorp recently passed $5 billion in market cap — bigger than well-known names like Abercrombie & Fitch , Sunoco or Pitney Bowes .
This is a level that starts to attract serious scrutiny above and beyond a small group of mostly small brokerage firms.
Today, stock market blog Seeking Alpha published a report entitled "Is Molycorp Worth $4.7 B?" wherein they conclude that even if rare earth element prices double, the present value of the business is at most $2 billion.
That is a long way from $5 billion.
More on Commodities:
- Will Commodities Keep Cooling Off?
- Wheat Surges to Two-Year Highs
- Cramer: Buy This Pause in Gold Prices
_____________________________
Bookmark CNBC Data Pages:
_____________________________
_____________________________
Want updates whenever a TraderTalk blog is filed? Follow me on Twitter: twitter.com/BobPisani.
Questions? Comments? tradertalk@cnbc.com