Disclosed Future dilution by the numbers
From the ongoing discussions regarding the issuance of additional shares. I've looked at the filings to see what the company's disclosed as future dilution.
From the 2015 Annual filing
As of December 31, 2014, potentially dilutive securities have been excluded from the computations of weighted average shares outstanding including 957,266 stock options, 700,000 restricted stock grants and shares underlying convertible notes. (1,657,266)
The following schedule reconciles the denominators of the Company’s calculation for basic and diluted net income per share:
Twelve months ended December 31, 2015
Shares used in basic per share computation: 16,966,921
Effect of dilutive common stock options outstanding : 599,677
Effect of dilutive conversion options : 4,636,588
Effect of dilutive conversion of Series B Preferred Stock :1,506,024
Shares used in diluted per share computation: 23,709,210
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If you add the 1,657,266 to the 23,709,210 shares you get the a number that should give you an idea of how many shares will be issued in the future.
If you add those together that comes out to be 25,366,476 Shares
So based on the May 13 2016 shares outstanding from the proxy material of 20,853,921.
There is 4,512,555 shares yet to be issued to to resolve the existing options, notes from acquisitions, and stock awards.
I thought I would put actual factual numbers out there that can be used in discussion.
Projecting forward If you use a .8 price to sales ratio with 25.3 million shares outstanding and 100 million in sales. Projected share price would be $3.15. If the company is able to realize 5 mil in profits or .20 a share at those levels the PE ratio would be around 15 at that price. at current prices PE ratio would be 11.25.
So as I see it even with an additional 4.5 million shares of dilution factored into the stock it appears way undervalued at a current price of ~$2.25.
