Sigma Labs Inc (SASI)

[monkeybuilt]

Hello Hawk. My current WAG is generally more conservative than some others but it goes something like this (take it with a grain of salt :

If LEAP nozzle production is expected to be at around 40,000 nozzles per year by 2020 and they are expected to cost about $1300, that's about $52M total for the part per year.

If IPQA® is saving GE 25%, then let's assume 5% (optimistic?) of that is SGLB's cut. That's $2.6M revenue per year.

Keep in mind that the nozzle is only one part.

GE has indicated that GE plans to go down this path for many more parts in the future. They have also indicated that they intend to farm out production in the future (which could expand on SGLBs contract part manufacturing service).

Keep in mind that GE is only one company.

With these numbers only looking at one part from one company from one industry, it's possible that we could be looking at 10 times that or more by 2020.

In the mean time, while we are waiting for IPQA® revenue, SGLB should be able to generate enough revenue to keep the lights on simply by printing contract parts. My current estimates put the potential of that revenue stream at around $250K - $500K. SGLB is also solvent for the next year or so, regardless of revenue, and they have money in the bank.

JMO...do your own DD.

Cheers!