Barfresh Food Group Inc (BRFH)

[wrigleyriley]

Listened to the BRFH update call. If they fill up their 100mm unit capacity by next year, that implies ~$100mm in revenues. At a 50% gross margin and $15mm g&a = $35mm ebitda. Probably would trade at least 10x Ebitda or $350mm firm value. With 117mm shares it would suggest a $3 share price or 4-5x upside from $0.56 today. Obviously the biggest risk is execution on the national contracts. Seems like a good risk/reward particularly with Pepsi and Unibell's involvement as possible strategic bidders.