Andalay Solar Inc fka WEST

[ohhhritchie]

Dilution is going to bite us in the long term...
With 349 million shares floating (by the end of the year)
what does the company have to earn per share to justify
a $1.00 price per share?

Lets work backwards...
Each 1 penny per share (EPS) equals 3.5 million in profit...
Profit not revenue...

Wall Street says on average profitable companies sell for
14 - 17 times EPS ..(obviously there are exceptions to this)
but on average the P/E ratio is 14-17

So if we are able to earn 1 cent per share we should expect
the stock price to be 14-17 cents per share...
This is not unreasonable....

But for $1.00 share... that's going to take some serious cash.
At 14 times earnings, we need to generate 7.1 cents a share in profit..
to justify a $1.00 a share - PPS...

That's a "profit" of 24 million dollars a year.
(Hint: at a 25% profit ratio means this would
require 100 million in revenue)

Does anybody on here think about this in real world
financial terms or, are you all just expecting hype
and BS to drive it up?