says, "Companies that trade on the OTCBB will require Cash/Cheque. "
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Price to sales
Fully diluted, based on 760M shares, at .02 per share, CHDO is trading at ~5.4x sales (FY2007's 2.8M).
Trading at ~1.4x sales (FY2008 projected 11M).
Regards
p.s. I think the fully diluted share count is a bit low; I haven't dug through all the warrants/options in the 10KSB, but the figure should suit purposes for now.
DD, the Meijer's one is strange
Checking out their website, they don't appear to have an automotive section, or a tools section. I don't see how the larger STP tools selections fit in there.
Regards
It doesn't seem implausible, DD, I agree
However, the $11M forecast also came from the same planning that predicted $3M for 2007 (this from Howard's CC yesterday).
They missed that target. How do you think they are progressing in 2008 thus far? Take into account all they have PRed thus far, and their execution on those PRs.
About $10M in revs. would be break-even, by my calculations.
Figure 35% blended GM and $3.5M operating costs <== my assumptions.
Regards
11/2.8 ~ 3.93 times
That's a 293% gain, not 393% <== minor math quibble.
Let's keep it math clean out there.
Regards
Two things will work against your near-in
prediction, U. First up, 1Q results come out in mid-May. I don't think they'll show much headway towards a year end $11M revenue target (I think the year will be greatly back end loaded, sales wise). I think we still have seasonality in book lights, and 1Q will still be largely book light revenue, with some Simply Comfort and the Meijer's STP air compressor thrown in.
Second, supply. I think another PPM is in the works, and we're still in the middle of the last PPM coming out of Rule 144 restriction (watch the volume/price today, should be interesting).
If Howard can hit $11M for the year, CHDT will show a small profit (I am figuring $10M is the break-even point this year).
I won't hazard a guess about 2Q2008 pps. I prefer to think longer term, and look at fundamentals.
Regards
Check out their weekly ad, Paffer
http://www2.meijer.com/ads/default.aspx?sid=49
They're a retail chain, located in the Midwest US (Which paradoxically is east of the middle of the country).
Regards
I'll give him credit
he put it out there. Now he just has to deliver ($11M rev and profitability).
I'd give Howard an A- on the webcast. I deduct points for grouping the bad debt one time charge with the options expense. I'm glad he clarified the issue later in the Q/A section.
Regards
Management Warrant/Option charges
From the 10KSB:
---
The Company will recognize compensation expense of $43,821 in 2008 and $14,607 in 2009 related to these stock options.
The Company will recognize compensation expense of $754,613 in 2008, $754,613 in 2009, $754,613 in 2010, and $251,537 in 2011 related to these stock options.
The Company will recognize compensation expense of $7,978 in 2008and $6,648 in 2009 related to these stock options.
---
Not entirely true that the options charge to earnings was "one-time"; the charges extend through 2011. *Note* Howard just clarified in an answer to a question that the warrant/options charges are continuing.
Regards
DD, totally different kind of product
See picture:
http://www.cpsc.gov/cpscpub/prerel/prhtml08/08210.html
Regards
Hey, maybe it's a Tire retailer
Something like Conrad's Tire.
http://www.econrads.com/storelocator.asp
Anyone up for some mystery shopping? RVD is due back soon, right?
Regards
DTB! Are you a betting gal?
Which company will get their Form 211 filed first: DGIA or SGGC?
Now, DGIA has quite a head start on the paperwork, I'm sure.
I still think it's a close dog race though.
Regards
Royalty Rates, Minimum Payment, Sales Milestones
From the 10KSB:
On April 12, 2007, the Company entered into a trademark and licensing agreement with The Armor All/STP Products Company (“AASTP”). As part of the agreement, the Company is required to pay AASTP royalties either at fixed periodic amounts or 5% of product sales. The Company is required to make guaranteed minimum royalty payments as follows: $100,000 payable in the 1st year of the contract; $300,000 payable in the 2nd year of the contract; and $500,000 payable in the 3rd year of the contract. As of December 31, 2007, the Company has paid $50,000 in royalty expense to AASTP that is included as part of selling expenses.
Seems like they've given CHDT incentive to sell at least $2M in the first year(4/12/07 to 4/11/08), $6M in the second year(4/12/08 to 4/11/09), and $10M in the third year(4/12/09 to 4/11/10) of the agreement (to sell less than that would mean paying a rate above 5% of product sales).
No, it's not all cut and dried like that, but it does give some idea of how AASTP thinks sales could ramp.
Regards
Pork, thanks for sharing
Re: the air compressor in Ohio. I just got off the phone with someone at one of the Murray's Discount Auto locations in Cleveland (part of the CSK Auto group).
He didn't have any STP tools yet, but he thought eventually, they would be getting some, he didn't have a definitive date.
Perhaps the air compressor is part of the regional chain PR issued in December, and not part of the Jan 2 nationwide chain PR.
December 4, 2007 - 10:24 AM EST
CHDT Corp., a Florida corporation (OTCBB: CHDO)(CHDT), announced today that its wholly owned subsidiary, Capstone Industries, Inc. (CAP), has received its first STP-branded automotive accessory order from a major regional retail chain for shipment in January 2008.
So, we're looking for a regional chain that sells in the Ohio area. Guesses?
Regards
Product Dev Costs
"During the year ended December 31, 2007, the Company capitalized $73,012 of product development costs related to the production of the Company’s AASTP products. These costs will be amortized over their useful life, which the Company has determined to be two years."
Most likely plastic die molds proprietary to making the STP tools. Although a Chinese company is making the tools, CHDT owns the molds; they paid for them, they are an asset of the company, offsetting the cost to procure them.
Regards
Hey, Pork!
The market gets to grade the test. Let's see how it goes the rest of the week.
Regards
Looks like you've calculated it right, DD
About $1.4M in revs, $600K gross profit, $1.0M in operating costs, and a $400K loss for 4th quarter. They needed about $1M more in revenue to hit break-even, based on about 42% gross margin (good to see that is steady).
They burned about $600K in cash on operations in the 4th quarter.
Regards
CPS owes 'em some money
CPS is also indebted to us under a second promissory note in the original principal amount of $250,000, executed by Dato on June 27, 2006 and payable to us, bearing interest at 7% per annum and maturing on June 30, 2007, subject to extension (the "2006 Promissory Note") and subject to offset by (i) $41,600 owed by an affiliate of CHDT to the CPS for funds advanced by CPS for portable generators which were never delivered and (ii) $15,000 as an agreed amount paid to compensate CPS for refunds required to be made to clients of CPS for cancelled sales made personally by Howard Ullman (which amounts have been applied first to accrued and unpaid interest due September 30, 2006 and December 31, 2006 and then applied to quarterly interest payable on the principal of the 2006 Note to maturity (June 30, 2007), and then to reduce the principal amount of the 2006 Promissory Note to $210,900). CPS have failed in their responsibility to pay interest and principal payments and laid out in both notes and agreement. As a result we have been forced to take legal action to collect all outstanding amounts including full payment of principals.
On March 10th, 2008 we were granted a Final Summary judgment against CPS (Case # CACE07-19082(25) 17th Judicial Court, Broward County, Florida) for the following amounts June note $238,748.90 and January note $262,990.88 for a total of $501,739.78. We are now continuing with a legal action to collect this judgment.
Some news on financing
Capstone is seeking traditional bank financing for its operations, but such bank financing is not in place as of the date of this Report of Form 10-KSB. The reliance on private placement of CHDT securities and insider loans or investments may depress or limit the market price for our Common Stock.
Regards
Next Up
Our licensing rights to the STP® trademark require periodic licensing payments to Clorox Company and achievement of certain milestones in sales.
That's been talked about before, but it's the first time I've seen it in a filing.
Regards
First up
There were 561,941,645 shares of the issuer’s Common Stock, $0.0001 par value per share, outstanding as of March 28, 2007.
The aggregate market value of the issuer’s common stock held by non-affiliates of the issuer as of March 28, 2008 was approximately $5,152,549.
First typo found:
Non-affiliates of CHDT include all shareholders other than directors, executive officers and holders of 10% or more of the Common Stock. Based on average stock price of $0.258.
If they really meant .0258, that puts the float around 199.7M, on March 28th.
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A timely filing of the 10KSB
would have to be transmitted electronically before 5:30PM EDT (about 3 hours 39 minutes from now).
Regards
Last year, nothing!
That's an increase in the float of 69M shares since Last Week! 40% rise??!
Judging from the new O/S of 587M, they've raised some new $$$ from equity, somehow. Wait for definitive filings.
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Well, the planograms were never PRed
to be in all the Walmarts (3100 stores minus 1600 for Target leaves 1500 Walmarts). So, it's not a concern that you could not find the book lights in yours.
But, they did PR that all the Targets would have the planograms, with a mid-Feb implementation date.
We've had some anecdotal reports that not all Target stores have the planograms still, and Howard's latest interview seems to say it'll be October before the new planograms take effect.
There's a bit of a disconnect here. Just looking for more anecdotal evidence.
Regards
OK, spam for breakfast still
http://investorshub.advfn.com/boards/board.asp?board_id=4344
I dutifully pushed the TOS button yesterday, when the avalanche of spam came tumbling down. It made a soft 'plugh' sound, and nothing apparently happened.
Maybe I'm misreading the TOS rules. The stated intent of the posting campaign was to get the board on the most active list.
http://investorshub.advfn.com/boards/read_msg.asp?message_id=28042220
They succeeded last night. Is this really all OK with Admins?
Just tell me, and I'll shut up.
Regards
Clean Up on aisle 13
A whole stack of Spam seems to have knocked over.
32 posts in 12 minutes, all rehashes of old news.
http://investorshub.advfn.com/boards/board.asp?board_id=4344
Educate me, would that be considered 'excessive posting to one board'?
Regards
Yet another SS question
How many preferred shares does Peter C. hold? And do his convert at 100 common to 1 preferred shares?
Regards
It's not clear to me why CSK needs another
cordless tool brand. Checking out their catalog, they already have 5 options:
Coleman Powermate
BigRoc Tools
Buffalo Tools
Pro-X
Ingersol Rand
Based on pricing, the Buffalo tools are junk, and the BigRoc and Ingersol Rand are high end.
Coleman Powermate or Pro-X seem to match best on price/quality with the STP tools. Maybe they'll axe one of those.
http://www.partsamerica.com/ProductList.aspx?categorycode=3574
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Their current ad runs through Apr. 12th
Perhaps they'd add the tools without placing them in advertisements.
Regards
Still no STP tools on CSK/Partsamerica sites
http://www.partsamerica.com/BrandCategories.aspx?MfrCode=STP
Real Soon Now...
Regards
They changed Rule 144 recently
There are no restrictions on resale for non-affiliates of a non-reporting company (the situation here) after a 1 year holding period.
http://www.chadbourne.com/clientalerts/2007/144changes/#exhibit
Regards
You can only submit between 8AM and 10PM
Monday-Friday, as long as it's not a market holiday. Since the 10KSB isn't on the site, they haven't filed yet.
Have you checked out your local Walmart or Target?
Regards
DD, I finally got on a broadband link
and listened to Howard's March 13th interview at wallst.net. I've extracted the last minute of the interview where he talked about the Target news. I have a link to the clip at the bottom.
I can't make his words fit what was PRed last October and November. Probably a good question for the upcoming conference call would be: How many stores have the book light planograms currently? What are the current product facings for Walmart and Target? (pictures shown last fall showed 29 for Target and 12 for Walmart).
http://www.zshare.net/audio/97369782c919d7/
Regards
I think using TA on a stock like CHDO
is nothing more than alchemy. But, if you're a believer, here's what today's 50DMA crossing under the 200DMA portends:
You may have heard terms like "bullish cross," "bearish cross," "holy cross," or "death cross." These refer to occasions when two moving average lines cross. If you think about the underlying math a little bit, you can see why they are thus named. Using only the 50DMA and 200DMA as examples - if the 50DMA is below the 200DMA, but then rises above the 200DMA, where they cross is called a "bullish cross" (or "holy cross"). Why? Well, the 50DMA tracks the stock (or index) price more closely than the 200DMA, so when it moves from being below the 200DMA to being above the 200DMA, it signifies that the trend is now upward (the shorter-term trend has exceeded the longer-term trend). Similarly, if the 50DMA is above the 200DMA but then falls below the 200DMA, this is called a "bearish cross" (or "death cross"). It means that the shorter-term trend has fallen below the longer-term trend, making the overall trend a downward one.
http://www.tickerforum.org/cgi-ticker/akcs-www?post=15291
Regards
DD, the original 500 PR said
they'd be implemented in Mid-Feb.
http://biz.yahoo.com/iw/071119/0330344.html
DEERFIELD BEACH, FL--(MARKET WIRE)--Nov 19, 2007 -- CHDT Corp. (OTC BB:CHDO.OB - News), a Florida corporation, announced today that its wholly owned subsidiary, Capstone Industries, has been awarded an additional 500 stores in a major US mass retailer private label book and task light program with an implementation date of mid February 2008.
Regards
50DMA crosses 200DMA
50DMA = 200DMA = .0234, according to the chart in the iBox, if you're into that sort of thing.
Regards
Filing after close of trading
is fairly standard, DD. Everyone has the weekend to go over the numbers; less chance of misunderstandings causing bogus trading situations.
Although, this 10QSB was filed pre-market:
http://www.sec.gov/Archives/edgar/data/814926/000093980206000266/0000939802-06-000266-index.htm
After 4PM seems likely.
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Trademark Filing Machine
Going for the Take trademark (with squiggle over the a).
http://tarr.uspto.gov/servlet/tarr?regser=serial&entry=77428454
Regards
It's That Time of Day
when you can say,
it's time to head for the Hiney!
Mood leveler time, PP. Enjoy!
Regards
Ooops! Misread who asked me that
http://my.wallst.net/blog/HowardU/2008/03/
Sorry, BB!
Regards