GONEOM, well, yeah, lots of folks would most likely do that on a spike ...
... and some would take EVERYTHING off the table, and some would get back in on dips, some would walk away forever with a sigh of relief.
(oops, saw where my math was wrong, thanks for the input eekaross, need $20,000,000 in net earnings to get .02/sh earnings.)
But seriously, what size revenues would be required to generate $20MM in net earnings so that a 50 P/E would justify a share price of a buck?
Or would generate $50MM in net earnings so a 20 P/E would justify it?
$20MM isn't all that much, I'm in and out of a small boring foamed plastics company that had net profits of $700K for the first time last quarter, and it took $24MM in revenues to do it. Traditionally, boring low margin, low profit business.
Okay, just did more math on what revenues it would require with boring foamed plastics margins, never mind, I quit now, not gonna think about it any more LOL
jonesie
Yorkville / Cornell Tracking Board #board-9964
"I can think of no more valuable commodity than information"