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I am comfortable with a PE ratio in the 25-40 range for multiple reasons:
This business model has very high margins with little cost for upkeep or labor.
This company has potential to scale multiple times in a year based on current size and current demand for their product.
There does not seem to be many challenges in reference to competition for their EPA approved fluids or systems which are beginning to sell like hot cakes.
Don't see the PE ratio being much higher than 40 unless serious MOMO kicks in. Could see the PE ratio being lower than 25 if company continues to struggle with timely filings and interest is suppressed due to that point.
I was going to respond prior on this note. I only have experience transferring shares of a trade-able stock to family. I have TDA and he had TDA (which was required as they cannot transfer shares outside of brokerage houses) and I called TDA and got a transfer of securities form which was filled out and signed by both him and I.
Not sure if this same scenario is possible with a delisted ticker or not.
I tend to agree with this statement. I think growth will be realized each quarter running for at least the next year or 2. The amount of subs they have added is remarkable. The system sales seem to be ramping up again now that COVID-19 stress has somewhat dwindled to a level that hospitals can start focusing on disinfection activities in their facilities - this is the biggest factor in the grand scheme of things when it comes to PCTL and it's worth. The systems being in place amount to substantial recurring revenue per unit that has very high margin and also creates an ongoing demand for fluids in the locations they have these systems in place. I think we continue to see a ramp in system production and sales through the next year or so which will keep growth at a high level over the next 2 years or so.
It all depends on what people are looking for here. I see there are some very true longs that see the potential but I think for the most part people at the penny level are looking to make 100-1000% and get out regardless of the potential.
I might sell some on the next leg up but nothing substantial as I'm already riding free shares and have no exposure. Might buy certain dips but I'm very leveraged at this time so nothing substantial for me any time soon.
Agreed, if anything I wish I had the opportunity to buy more. Regardless of the delay we are on the brink finally. But I could understand why some want to sell a portion of their share.
How many times is it now? 4 or 5 times?
If your serious I will let them know. There have been a couple people that I know would be interested. What broker are you using? Would have to get the share transaction form etc.
Another lame PR.. nothing to waste your time reading... Just 5 new systems on order. Just $30k+ additional monthly revenue (approximately 1/10th of 1st quarter 2020 revenue)... Lmao
I think the 2Q will weigh heavily on the share price (positive or negative). It's either going to shoot up with healthy revenue ($1 million plus), obviously the larger the number the more crazy the share price could run, or it's going to fall off a cliff if the revenues show anything weak ($700k minus). We will see.
Agree with this 100%. Which is why it is imperative this 2Q shows us something significant in revenue.
By the way how do you feel about these additional 5 systems in this NY hospital? If they start installing at this rate (5 systems in one PR) we could be hitting 60+ systems in place by year end. That is $360-400k per month just from the systems not to mention the fluids we would be selling for those systems on a monthly basis. And the profit margin is huge because there is little to no labor or upkeep costs.
If the UK deal gets set in place this year we could be looking at 100+ systems potentially by year end which would equate to $7+ million in profit generated solely from system placements next year.
This is exactly what we need to continue looking for. The quicker they expand and get these systems installed the quicker revenues will be flowing in 2021 on a very large scale. 2020 has been great to PCTL thus far in establishing their game plan and fast tracking it in a big way.
This is where we find out his true character. "Put up or shut up".
One thing to consider:
If Gary's $4 million prediction ends up being close to accurate (he claimed to be conservative with this projection) - EPS would be somewhere around .005-.006 after all costs are applied. With a PE ratio of 25 (considered to be very conservative based on the growth of this company) that puts the fair value around .13 PPS by year end. This of course does not take into account any MOMO that is created if the UK deal starts to come to fruition. Not to mention the growth PCTL is realizing with their system installations here stateside. There are many triggering events that can get this to .25+ by year end. But it begins with these Q2 fins showing $1 million+ in revenue as zomby has stated for us to have a shot at $4 million by year end.
I am fairly confident that the numbers will add up and $1 million+ will be realized in revenue for Q2, however the delay in releasing it is always a bit scary. The fact that they filed the NT makes me think that it's something going on with the auditor again as the company would have no reason to file the NT if they knew they would not have got the filing out on time anyhow.
We will see shortly.
Just like Q1... How did that work out for you lmao. Some sheep need a sheep dog.
Obviously at the rate the pandemic was exponentially growing at that time in March and the PRs coming that were stating they could not keep up with the orders and needed to get additional facilities to ramp up production capacity - would lead anyone to believe for at least some weeks in the heart of the pandemic growth they would be maxed out in sales if they were rapidly making a move to add facilities to ramp production of fluids.
Clearly those sales would not stay up and that is why I cut the expected produced and sales number in half which I think is pretty generous personally.
If Q2 shows under $1 million in revenue - Gary's character will surely come into question.
How could PCTL have possibly been getting "more orders then they could serve" when they had daily production capacity of 10k gals per day in March and then only show $1.3 million or less in revenue through Q2? Unless they are giving tons of their fluids away for free then that makes absolutely no sense. Not to mention the systems installed and generating revenue already will probably amount to $300-400k itself through Q2 of 2020. That would mean at best $1 million in revenue from fluid sales for what we should assume is at least 500k gallons of fluids being produced and sold through 3 and a half solid months of fluid production and sales. That is an average of around 5k gallons produced and sold per day (which is half of their capacity at the headquarters). In that case they would be selling their fluids for $2/gal which is pretty absurd.
Sooner or later one cannot continue holding when the narrative earlier on this year seems very pumpish in the grand scheme of things with the information we have some 4-5 months later. We will see what Q2 holds, but being that they are now delaying the release of this Q I have my suspicions that things aren't as bright and shiny as Gary made it out to be earlier on this year.
I have had the same inquiries. People wanting to buy but cannot. They would have to find an owner willing to sell. They want ridiculous deals of course. I’ve had a couple people ask seriously about buying shares at .15 and they got a hard no on that one.
The market sell orders are so novice and comical. Probably wanted to buy into Tesla before it's split lmao. See how that works out for them with a 1.2k PE ratio
What did I say that was "complete BS"... LMAO
Not to mention this thing literally just had a stop sign 2 weeks ago. So now a yield sign causes someone to sell after it was sitting around this price and higher for months with a stop sign... don’t think so.
We should all know where PCTL is with their filings. Don’t need OTC market to let us know that they didn’t get their 10Q for 2Q out on time.
Don’t count on that. I’m in a ticker that had a huge lawsuit against Comcast and all of the largest cable companies in the US. Trial was scheduled for Aug 18th of this year but got postponed due to COVID-19. They got all the way to mid July before that continuance occurred and the cable companies seemed more than ready to go to court. And that ticker was unscathed through the PTAB trials and appeals court denied all motions from the defendant. They will likely ride it out through trial then try to settle during trial. Book the expense as late as possible.
Always some clown that decides to sell at market into the bid lol. Nice pick up.
Btw, I'm not expecting further continuances myself. I think they will get things back in order and we might see ourselves at trial as early as October, but more likely November in that circumstance.
Ahhhh yes Sept. 5th was the date I had in mind. I'm wondering where she got this date from as well I guess I will do a little digging myself, it's only fair right? LOL. I'm just wondering when we can finally get the wheels turning again here because this is depressing we haven't heard a peep in over a month when we should have already been getting a decision on this whole thing.
Thanks for the answer long!
I would assume that Netlist is chasing the 1% revenues figure, however putting together a valuation on what exactly their patents cover and maintain influence over is very complex in nature. Once the valuation experts from both sides draw up their argument and present it, then it is up to the Judge to include those witness testimonies or dismiss them based on sound analysis.
It will take time for this thing to play out but regardless Netlist is putting together a string a sound financials with steady and healthy growth over the last couple of years. Not to mention this case will be icing on the cake when it is finally decided. I suspect a very lucrative award in play for this patent, but it will take time and people need to understand this as it is clear that many don't when they dump their shares at bottom barrel prices due to little delays that have nothing to do with the case and everything to do with the current pandemic.
What was the date that someone posted here when the Delaware District would address their closure and update on when trials will begin to take place again? If anyone would be so kind.
Fortunately for me I didn’t sell on the “sell while you can before .02” advise for months and months now. Don’t plan on selling now either.
What will you say when they show 2 or 3x that amount in Q2?
Been hearing this for literally months now.
I would hate to be the guy stacking the ask for cheaper pricing on shares in anticipation for the Q2 to be released only to get taken in one fell swoop.
Poster claims expertise on hospitals and their cleaning procedures but is not even savvy enough to do a quick google search for number of hospitals in the US before posting some astronomical number of hospitals lol! Always love it.
So PCTL’s systems will disappear because there are other machines out there that are relatively the same thing... weird how that works. I guess that means TESLA should just be a fad that will disappear because they have other car companies competing that can build electric cars and are relatively the same thing. Crazy how that works.
It’s also getting a little frustrating when they continue to hand out shares but apparently claim they can’t keep up with business and making money hand over fist.
I misspoke... $162k in product revenue. The rest of my message should make that clear but yes I misspoke.
It’s pretty disappointing in my opinion to only have done $162k in revenues for Q1... I expected a whole lot more. What zomby is stating may be true that they are not booking tons of receivables and those will hit Q2. I guess we will see shortly but as of right now those numbers are pretty disappointing.
I am still at the office so didn't delve into the Q yet. However those numbers are even more scary as there is only $162k from fluid sales... Even if they had 2 weeks of full blown orders piling up for the fluids in March... That's 10 business days of product at 5k gallons a day. That puts you around 50k gallons produced and (likely sold based on their 8k claiming they couldn't keep up and needed additional production facilities). 50k gallons and $162k revs? That's a little over $3/gal... This is very scary if you ask me and that's coming from someone who owns a large stake here. Q2 is definitely going to be better... But this bottom of the barrel Q just made the ceiling for Q2 a whole lot lower and the floor along with it.
Being current doesn't matter when you brought in revs of $272k for the quarter you apparently couldn't keep up with the orders for fluids even if it was only in the month of March and claimed max capacity of 10k gals/day. The lofty projections here were somewhat warranted back in March and April based on the communications through 8ks the company was releasing. And now we find they were claiming a lot of things that quite simply didn't happen in my own opinion.
How is it possible there was only $272k revenue here when apparently things got ramped up in March to the extent that they could not fill the orders they were getting for fluids?... What do they sell their fluids for? Do the math...
Even if one was to assume they sell their fluids for $8/gal that is only 34k gallons sold IF they only collected revenues from fluids and there was no revenue collected from the systems... Apparently they had capacity to produce 10k gallons per day... Yet they spent money to open more production facilities and only show enough revenue for at the very most 30k gallons in the 1Q? This is utterly absurd and I'm pretty disappointed I followed this thing so long. I will see what the 2Q holds because at this point why sell the company is growing and expanding and making money... But they really played us with those PRs back in March and April and anyone who denies that is just fooling themselves and trying to maintain the PPS for now.
Sell again. Usually bodes well for price action here not too soon thereafter.
As I said if the trial is to be in February or later then yes we can expect a year to be in play for the wait on Cox.
However there is a chance November or January are in play... Not to mention the year being in play is based on appeals and delay tactics which we know to be usual with these clowns but it's not definite especially if the writing is painted clearly on the wall things change when trial is in session.
Also, once the Cox trial is done and decided, as the Judge said before - the next trials will be scheduled rapidly a precedent is set... So as I said once the Cox decision is made - expect things to happen rather quickly in the grand scheme of things (Comcast is the only outlier as we know they will fight to the bitter end).
Yeah we have seen this all before with the clowns trading OTC. Tell them they have to wait another 2 weeks and they will sell all of their shares for a 40% loss to chase the shrimp companies of the world that +1000s of %... Great idea.