Rational Thoughts On SGBY:
The company has told us that they have 700 accounts in the original three locations, but that was two months ago, so very conservatively 800 by now. The Portland location has “hundreds” per the PR so that’s 200 minimum and the Ca location has 500+, so let’s just call that 500. 1500 accounts minimum X $1731 per account avg with 250K in consulting revenue at an S&P avg. P/S is .0068. Run those same numbers just on the float and they're over 40% higher.
The same calculation w/S&P P/E puts this at .0292 or 40% higher with just the float and this company is on fire as it pertains to growth.
1,500 accounts among the 5 locations TODAY. And to brothcheld's point, P/E and P/S are forward looking indicators. We may find once the two new locations are closed that it is a lot more than 1500.
The P/S number is a good indicator for a company that has yet to reach cash flow positive status, but once they turn that corner, more people will begin to speculate based on their P/E. Look at the existing revenue numbers NOW vs their 10Q reported expenses on June 30th and you’ll see that they are not far from that cash flow positive status IMHO.
Now fast forward 3, 6, 12, 18 months...
Do you honestly think SGBY won’t be high on a lot of boards as a favorable MJ play?
Do you honestly think that as we grew from 61 followers in July to 200 followers today to 400-500 followers in December, this float won’t tighten like a drum?
Do you honestly think this company won’t add additional locations and increase their number of accounts substantially?
Do you honestly think just in Oregon alone that their accounts won’t rise considerably due to the number of competitors that have chosen not to pursue accreditation? 26,000+ potential accounts in Oregon alone reported in one PR.
Do you seriously think this company will stop at just Oregon and one in California with so many new states coming on line with the November elections?
And do you honestly think that at least one or two key players won’t come along in the near future offering traditional financing or a substantial investment as a way to lock in share structure, pay down some debt and continue on a growth trajectory?
Do you honestly think this company isn't smart enough to develop joint venture projects, development agreements, etc?
Where does all of that take this stock price? You're guess is as good as mine, but on days like today, it's a good reminder that this company is growing at a rapid pace and this may be the best time to consider grabbing some shares. GLTA
"One 5Bagger to 10Bagger per Quarter."
