Mevt will be going anywhere between $7 and $18 a share and I will tell you why.
With a conservative annual sales figure of $25 Million a year and a conservative P/S ratio of 5 times sales MEVT will have a minimum market cap of $50M
$125M / 17M shares = $7
We usually assign multiples of 2 to blue chip value companies...for a growth company like MEVT there should be a lot higher sales multiple.
Also MEVTs net margin are very high. The cost of sales of outsourcing to Megola (manufacturer of Hartindo) are very low
Net margins should be around 50%
$25M x .50 = $12.5M net profit
$12.5M/17M shares = .73 cents a share
.73 x 25% growth rate = $18
Will it be closer to $7 or $18? That all depends how investors perceive the company i.e. Management, quality of product, reporting of financials, diversity of sales, etc
By the way if you are wondering how MEVT will get $25M in sales?
Hartindo has the capability of entering so many different vertical markets they are countless...housing, clothing, governments, etc
These valuations obviously depend on definitive sales agreements
