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Re: Ronin post# 8180

Monday, 08/24/2015 8:34:13 PM

Monday, August 24, 2015 8:34:13 PM

Post# of 16982
When it traded at $5, the market cap was $124 million; it hit that price before any revenues were even reported, so it was priced entirely on speculation.

If it hit $6 today, it would have a market cap of $753 million (this is what happens when they finance with equity - the number of shares goes up). Assuming that today's price is fair based on sales (it's actually overvalued), to hit a market cap like that they'd have to have sales of $276 million.

In other words, I don't think you should trade this stock with an expectation of $6 a share.