Iconic Brands Inc (ICNB)

[stervc]

ICNB .06+ to .19+ Logical Valuations to Consider

The recent closing of the acquisition of the Bellissima Prosecco makes ICNB worth .06+ to .19+ per share through ”logical” deduction as I will explain how in greater detail within this post:

Iconic Brands (ICNB) Closes Bellissima Prosecco; Agrees to Terms with Debt Holders
http://www.otcmarkets.com/stock/ICNB/news/Iconic-Brands--ICNB--Closes-Bellissima-Prosecco--Agrees-to-Terms-with-Debt-Holders?id=147212&b=y

Read the post below if you need to refresh the logic explaining why the debt agreement greatly benefit us ICNB shareholders:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=127431918

Generally, in the past when I had created valuation posts, the thoughts were based on ”speculation” for where a stock could trade ”IF” certain Revenues are first generated to even have a certain amount of Net Income to even be able to derive a valuation. If a company never generated such speculated revenues, then such valuation post would not hold any merit.

However, here with ICNB, now that they have acquired Bellissima Prosecco, they have sold out of thousands of cases on a monthly bases for the past few months. This means that they already have resolved any manufacturing issue, any distribution issue, any licensing issue, any marketing issue, etc. They are now in sales mode generating Revenues and have been since Sep 2016.

What this now means is that the below valuation will lean more towards being an ”actual valuation” versus just being a ”speculative valuation” for ICNB. This means that since they have been selling out of thousands of cases of Bellissima Prosecco per month, it’s fair to presume a valuation on the bases within the range of 10,000 cases per month, 20,000 cases per month, or 30,000 cases per month. Anyone choosing to challenge these number of cases sold per month, please take 6 minutes and 8 seconds to view the video below with Christie Brinkley to confirm this, who is the primary person for the Bellissima Prosecco:

https://www.youtube.com/watch?v=VhuqLVNqXv0

From the video/links below with Christie Brinkley and the NYSE President (Tom Farley), each bottle of Bellissima Prosecco costs $19.99 per bottle:
http://video.cnbc.com/gallery/?video=3000572759
https://www.finewineonline.com/wines/Bellissima-Sparkling-Zero-Sugar-w96757622t
https://www.finewineonline.com/wines/Bellissima-Sparkling-Rose-w7671227ru

I will derive a valuation based on a minimum of 10,000 cases sold per month of the Bellissima Prosecco which all should believe is very fair and conservative. If it turns out to be 20,000 cases sold per month, then double the valuation below. If it turns out to be 30,000 cases sold per month, then triple the valuation below. Now let’s make note of some key variables that will prove to justify the valuations that I have mentioned:

Key Variables to Note
** 10,000 Cases Sold Per Month
** 6 Bottles Per Case
** $19.99 Per Bottle
** Outstanding Shares (OS) = 814,790,609 shares
** Net Profit Margin for the Beverages - Wineries & Distillers Industry is 18.60% (.1860) As of 23-Dec-2016
https://biz.yahoo.com/p/347conameu.html
** Price to Earnings (P/E) Ratio for the Beverages - Wineries & Distillers Industry is 19.40 As of 23-Dec-2016
https://biz.yahoo.com/p/347conameu.html

Considering the variables above, we can now derive a Fundamental Valuation to get a better understanding of where ICNB should trade. Since I believe the debt will be paid off within the next 60 days after doing a little further research, I will use the current OS because I believe they will keep it the same. If for some reason the OS or any variable changes at any time, use the ”Substitution Property” to recalculate any figure. You should still get significantly positive results.

I must reiterate that here with ICNB, now that they have acquired Bellissima Prosecco, they have sold out of thousands of cases on a monthly bases for the past few months. This means that they already have resolved any manufacturing issue, any distribution issue, any licensing issue, any marketing issue, etc. They are now in sales mode generating Revenues and have been since Sep 2016. What this now means is that the below valuation will lean more towards being an ”actual valuation” versus just being a ”speculative valuation” for ICNB. Let’s derive...

10,000 Cases Per Month x 6 Bottle Per Case = 60,000 Bottles

60,000 Bottles Per Month x $19.99 Per Bottle = $1,199,400 Revenues Per Month

$1,199,400 Revenues Per Month x 12 Months = $14,392,800 Revenues Per Year

$14,392,800 Revenues Per Year x .1860 Net Profit Margin = $2,677,060 Net Income

Formula to use to derive the Earnings Per Share (EPS)…

Net Income ÷ Outstanding Shares (OS) = EPS
$2,677,060 Net Income ÷ 814,790,609 shares = .0033 EPS

Formula to use to derive the ICNB Share Price Valuation…

EPS x P/E Ratio = ICNB Share Price Valuation

.0033 EPS x 19.40 P/E Ratio = .064 ICNB Share Price Valuation

This means that it is fair to presume that ICNB should be fundamentally trading in the .06+ per share range based on the recent acquisition of Bellissima Prosecco and since they have sold out of thousands of cases on a monthly bases for the past few months. As more news is released by the company to confirm even greater growth that is upon the horizon, I believe the market will begin to see this. Again, use the ”Substitution Property” to replace any of the key variables to note to derive a new valuation.

In Summary with the ICNB Fundamental Valuation
10,000 Cases sold Per Month = .064 ICNB Share Price Valuation
20,000 Cases sold Per Month = .128 ICNB Share Price Valuation
30,000 Cases sold Per Month = .192 ICNB Share Price Valuation

In closing, I must directly commend Christie Brinkley for she is doing an awesome job with her Bellissima Prosecco which was recently acquired by ICNB. She is the perfect person for this entire situation. I suspect that she will attract more big name people and companies to the table to become a part of ICNB.

Stay tuned… it’s coming!

v/r
Sterling