MONTREAL, May 7, 2012 /CNW Telbec/ - Toron Inc. (OTCBB:TRON)- (The Company) announced today that Grass Roots Research and Distribution, Inc. ("GRRD") (www.grassrootsrd.com) has initiated research coverage on the Company.
The Cohen Price Target is calculated using market-based multiple valuation, Discounted Cash Flow (DCF) and by applying the Cohen Price Performance Index approach. The multiple based valuation approach uses the expected 2012 Price-to-Earnings and 2012 Price-to-Capital Employed ratio. We also include the Cohen Price Performance Index, which is representative of the past coverage performance of all stocks evaluated by us. The last component in calculating the Cohen Price Target is the value derived using the long-term Cohen Discounted Cash Flow (DCF) valuation approach. Based on an average of these methods, Toron Inc. common stock is valued at $0.27, 215.2% higher than the current stock price of $0.075.
The following are excerpts from the report:
- Gold demand remains consistent. The demand for Gold reached 14 year high in 2011. The global demand for gold bars increased 37% year on year to 1,209 tons. According to Thomson Reuters GFMS, the overall gold demand increased 0.6% to 4,486 metric tons in 2011 from 4,459 in 2010. The rise in demand is largely due to the security it gives to investors in an uncertain economy. With the economy still recovering, the demand for gold is expected to remain high in near future and beyond.
- Rising prices of gold. Rising Gold Prices due to uncertain economic conditions and sovereign debt crisis is driving the Gold Prices high. According to Capital Economics, prices are estimated to cross $2,000 an ounce and stabilize at around $2,200 an ounce by the end of this year. Consistent demand for Gold and rising prices along with increasing importance of gold as a global investment alternative have resulted in renewed focus on gold assets across the globe. Gold is regarded as one of the most reliable and economically proven sources of stable long term investment.
- Property presence in the incomparable mining potential province of Quebec. Quebec is one of the world's richest mineral territories with a long exploration history. The province is endowed with rare earth and other valuable mineral deposits of gold, nickel, cobalt, and platinum. Northern Quebec is said to have unmatched exploration potential.
For a downloadable PDF version of the report visit www.grassrootsrd.com
About Grass Roots Research and Distribution, Inc.:
The Grass Roots Research and Cohen Research brand names are the worldwide Gold Standard for micro cap/small cap research. Grass Roots has raised the art of fundamental securities research by forecasting the three statements, including assumptions of capital raised. Grass Roots distributes in-depth stock market research reports that highlight the company's market opportunity, technology, management, competition and other key differentiators that may affect their short and long term valuation. For more information, visit: www.grassrootsrd.com.
Toron Inc. (www.toroninc.com) prides itself on being a new mineral exploration company focusing its attention on projects involving gold and other valuable metals. Based in Quebec, one of Canada's richest mining provinces, Toron Inc., a Nevada company incorporated a wholly owned subsidiary, Toron Resources Inc., for the sole purpose of exploring mining projects in Canada, and specifically, in Quebec and Ontario.
Safe Harbor Statement
Some statements in this news release contain forward-looking information or forward-looking statements for the purposes of applicable securities laws. These statements include, but are not limited to, statements with respect to having a geologist join the Company. These statements address future events and conditions and, as such, involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the statements. Such factors include, among others, the timing and completion of contemplated financings, the actual use of proceeds, receipt of regulatory approvals and the timing and success of future exploration development and production activities. In making the forward-looking statements, the Company has applied several material assumptions including, but not limited to, the assumptions that: (1) the proposed exploration and development of its mineral projects will proceed as planned; (2) market fundamentals will result in sustained metals and minerals prices and (3) any additional financing needed will be available on reasonable terms. The Company expressly disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise except as otherwise required by applicable securities legislation. These statements are based on our current plans and expectations and involve risks and uncertainties that could cause actual future events or results to be different than those described in or implied by such forward-looking statements. These risks and uncertainties include those relating to: lack of operating history, transitioning from a development company to an operating company, difficulties in distinguishing Toron Inc. resources and ability to mine Toron Inc. resources, market acceptance of our products and services; operational difficulties relating to combining acquired companies and businesses; our ability to form and maintain mutually beneficial relationships with customers and strategic partners; changes in economic, political or regulatory conditions or other trends affecting the mining sectors, and our ability to attract and retain qualified personnel. Further information about these matters can be found in our Securities and Exchange Commission filings. We expressly disclaim any intent or obligation to update these forward-looking statements.
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