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Re: 427Cobra post# 16070

Tuesday, 08/26/2003 5:39:06 PM

Tuesday, August 26, 2003 5:39:06 PM

Post# of 78729
Sorry, didn't mean to step on any toes. I used Alberto's formula for Reducing the Guard Interval Loss via Recursive Singular Value Decomposition , nah just a little humor.

To speculate on share values in the future, especially involving a company like NVEI/RSC is impossible, thats why I said at first I didn't want too. After being proded I guessed with my feelings of watching this highly critically evaluated company.

To use a formula per-se is equally vague or misrepresentative in that one must plug in too many unknowns involving our company at this point. The difficulty lies in the following example; RSC in their first year makes 25,000,000 in sales (more or less?). What will our O/S be at the end of 2004? Lets say it doubles approximately (136million) (is this too conservative or too optomistic). So our EPS is .184
How do we determine value? The market average for p/e ratios is 15-25. Semiconductors is 57.

http://www.investopedia.com/offsite.asp?URL=http://biz.yahoo.com/p/industries.html

Many don't show p/e's and some out way out there (Actel corp @ 869) What will the market value RSC at? We're at new company, no employees to speak of, no history in chips and not the friendlist of shareholders (lol); so lets say we'll have a 10 p/e ratio, thats 1.84 per share. You want to believe its the avg for the industry then its 10.49

Is there reason for optomism, absolutely, but lets get the revenues in the bank first before we argue on share values in a year.

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