AJAY -- Ajay Sports, Inc.
(DE) Com (1 Cent) PinkSheet w/news 32751 Middlebelt Rd. Suite B Farmington Hills MI 48334 248-851-5651
* OS 4.2M Shares with 1.6M held by CEO. About 2.6M Float
* Online Store: http://www.progolf.com/home/index.jsp
Chairman & CEO, Thomas W. Itin President & COO, Brian T. Donnelly
* Travel: http://progolf.travelasp.com/
Flights Hotels Cars Cruises Vacations. PRIVATE Yachts and Villas
* Main Company WebSite: http://www.progolfamerica.com/
Mission Statement: "We aim to be the leading retailer in the golf industry by dedicating ourselves to foster the game among players of all skill levels and by making our stores the game improvement retail destination of choice. We will continually strive to be committed to enhancing customer enjoyment of the sport by providing the highest quality and widest selection of name brand golf equipment, guaranteed low prices, custom fitting services and personalized customer care by exceeding all industry standards."
* This company has been in business for 43 years. The company appears to be making a profit as they are expanding and opening new stores. My DD shows they receive $50,000 per franchise startup costs as well as 3.5 percent of sales. Operating costs seem to be minimal. With the announcement of a new COO I would not be surprised to see them make a move to the OTC BB in the next few months. A profitable company with a low OS, a low float, and a low share price today. The actual float may be lower than the 2.6M indicated above, perhaps closer to 1.5M shares.
* With 6 NEW locations coming SOON that's an instant $300,000.00
* With 2 NEW locations just opened that's an instant $100,000.00
* With 38 OPEN USA Stores, what is 3.5 percent of sales ? $120,000 to $250,000 a year estimate. (IMO a fair estimation of daily sales is $500. Thats $15,000 a month in sales. With 38 USA stores that's $570,000. 3.5% = $20,000 a month. $20,000 month * 12 months = $120,000). They might easily have $1,000 a day in sales.
* With 17 International Stores, what is 3.5 percent of sales ? $60,000 to $120,000 a year estimate.
* With 8 NEW stores what is 3.5 percent fo sales ? $30,000 to $60,000 a year estimate.
Conservative estimate would be $400,000 NEW Franchise fees + $185,000 + $90,000 + $45,000 = $720,000 a year with little overhead.
Conservative EPS. Let's say of the $720K the company NETs $400,000 a year. Thats an EPS of about .10 cents a share. Given a multiplier of TWENTY that's about $2.00 a share value IMO. With continued GROWTH this number will just get LARGER!!!