BB's Stock Haven

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Consider this CINT Valuation…

This is a potential valuation of CINT for all to consider for better understanding the magnitude of where CINT could very well be fundamentally trading not only if they capture 1% of their market, but after capturing only ½% (.5%) of that 1% of their market based on their Net Earnings (Income) to be generated per year over a 5 year time frame (really focus on the bold underlines).

http://www.murphyanalytics.com/uploads/CINT_Investment_Overview
Page 6 of the Report


As depicted from the chart above, consider the CINT valuations from the Net Earnings for years 1 thru 5 after capturing only ½% (.5%) of the 1% of their target market per year. The Income would be considered recurring because of the travel that would occur yearly and exponentially growing. Consider below the fundamental formula that is used to asses fundamental valuation for a stock and then consider each per year CINT scenario to follow thru 5 years. I will use the Net Revenues number because it is smaller than the Operating Revenue from IntelliFares and Interest Earnings number to remain yet even more conservative with this valuation:

Revenues – Net Expenses = Net Earnings
Net Earnings ÷ Outstanding Shares (OS) = Earnings Per Share (EPS)

The Price/Earnings (P/E) ratio is the growth rate of which a stock trades within a given Sector within a given Industry of similar stocks. When unsure of what Industry a stock would trade, a conservative P/E Ratio of 12 is often used as the multiple to help derive a fundamental valuation.

P/E Ratio x EPS = Fundamental Share Price Valuation

Since the Net Earnings have already been derived, we will start with deriving the EPS from an assumed worst case scenario OS of 400,000,000 shares. I believe there is a solid chance that it is lower, but since this is the pinksheets where dilution is usually the norm, I thought it fair to factor on the high side. If for some reason the OS is lower or higher, simply use the substitution property to replace the 400 million OS number with the correct OS number within the calculations below:

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Potential Valuation from ½% of their 1% market from Year 1:
Net Earnings ÷ OS = EPS
$5,544,200 ÷ 400,000,000 Shares = EPS
.0138 = EPS

P/E Ratio x EPS = Fundamental Share Price Valuation

12 P/E Ratio x .0138 = .165 per share

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Potential Valuation from ½% of their 1% market from Year 2:
Net Earnings ÷ OS = EPS
$10,290,400 ÷ 400,000,000 Shares = EPS
.0257 = EPS

P/E Ratio x EPS = Fundamental Share Price Valuation

12 P/E Ratio x .0257 = .308 per share

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Potential Valuation from ½% of their 1% market from Year 3:
Net Earnings ÷ OS = EPS
$20,235,000 ÷ 400,000,000 Shares = EPS
.0505 = EPS

P/E Ratio x EPS = Fundamental Share Price Valuation

12 P/E Ratio x .0505 = .606 per share

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Potential Valuation from ½% of their 1% market from Year 4:
Net Earnings ÷ OS = EPS
$41,073,820 ÷ 400,000,000 Shares = EPS
.1026 = EPS

P/E Ratio x EPS = Fundamental Share Price Valuation

12 P/E Ratio x .1026 = $1.23 per share

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Potential Valuation from ½% of their 1% market from Year 5:
Net Earnings ÷ OS = EPS
$84,745,662 ÷ 400,000,000 Shares = EPS
.2118 = EPS

P/E Ratio x EPS = Fundamental Share Price Valuation

12 P/E Ratio x .2118 = $2.54 per share

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If I had to guess, I think they went stealth to be able to better execute some things without having to worry about being transparent until they were ready to launch their service on a major capacity. I think that report was a projection of what is about to happen now since CINT is long overdue and are probably expecting to be somewhere in the area of year two by now within that chart. I think they are very near that launch with the backing of a major client to get things jumpstarted.

If one were to go research the info within the Department of Statistics and Economic Measurement of Tourism of the World, you would see that the numbers above are still considered very conservative considering that the number of Time Share owners have been exponentially increasing in large numbers since the time that the above report was generated. I’m not sure where CINT will end up trading, but given the statue of its current management and their laid out business objectives, I would have to risk that it will be much higher than these sub-penny levels in my opinion.

Other CINT DD posts to review:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=35244393
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=35244704
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=35246185
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=35247020
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=35246085

v/r
Sterling