Wow!! 30,000 cases per month. Lets do some simple math game for fun:
Assuming 30,000 cases X 6 bottles per case = 180000 bottles per month. Lets say conservatively $10 per bottle accruing to the company. Then,
Revenues = 180000 bottles X $10 = $1,800,000 per month. For the year,
$1,800.000 X 12 =$21.6 million for the year. This could go up as a result of further growth in sales.
Consider STZ statistics as comparison:
STZ has a market capilization of $31.7 billions (today's), with an annual sales of $6.5 billions for the period ending Feb 2016 (these statistics are from Yahoo Finance). Hence market capitalization is about 4.87 multiples of sales figures.
The multiplier for a smaller company and a start up like ICNB could be somewhat larger than 4.87 imo. Lets assume this is 50% higher for ICNB. Then multiplier for ICNB = 4.87x1.5 = 7.3.
Estimated valuation for ICNB:
As stated above for ICNB, revenues from sales is estimated at $21.6 millions, then multiply this number by 7.3 to get to Market Capitalization, MC = $21.6 million X 7.3 = $157 millions. ICNB has about 800 million OS, this translates into potential PPS = 157/800 = .196 cents.
This number is close to stervc's upper estimates. His 30,000 cases scenario translates into PPS=.192 cents. stervc uses different valuation methods using EPS, and PE ratio. I must say his approach is more robust than the one presented here.
Also, keep in mind there could be further growth in sales.
This is my second last post for tonight (have already written 14 posts out of 15 allowed)
$$ICNB$$
This is my opinion only, do your own DD and trade at your own risks.
