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Re: otcbargains post# 17936

Thursday, 05/18/2017 9:01:01 PM

Thursday, May 18, 2017 9:01:01 PM

Post# of 19261
I disagree with your plan...........
"IF it doesn't start moving up early next week I will just move on. "
Why:
1 Sam is cleaning up the problematic balance sheet,thru a pseudo internal IPO(equity for debt/liabilities/payable). This may be costly to current investors since it drove up basic shares count to 29.98 million as of 5/10/2017 but offset by balance sheet improvement.In Q2 the balance sheet should move up to fair from Q1/prior bad.This is a good move and needed to attract next wave of new investors,like me.
2 Sam is maintaining topline growth rate north of 10%+(2016),and 18%(1q 17/1q 16).I expect 2017 yearly growth rate average is around 15%+.WWwooowwww.
3 Product items for sale is around 7000 from 5000(2015/2016?),and the stocked items are around 1200 items.Carrying cost of inventory have been kept below $1 million or turnover rate of 40(leveraged with 3rd party direct shippment). WWWWooooowwww.
4 Net income of ivfh is 20x of USF.WWWoooooooowwwwww.
5 operating income(32%),s&g 20% and lower
6.......
plus
There is an increase of float of 5 million shares since the end of 2016 and with average traded volume of 100K,one should give 2-3 month and wait for the new buyers eating them up.
My guess:
After next ER(8/15e) with eps=$0.032+,the PE should start moving up.

ps-why worry,if the underlying asset is improving and generating lots of cash!
ps2-to those disgruntled old farts: FD debacle was a multi-million dollar experience/cost;to the new investors: Sam is armed with this not-to-do-it-again experience and it is worth millions of dollars in my view going forward.


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