Metrospaces Inc (MSPC)

[stervc]

MSPC .01+ Fundamental Valuation Confirmation…

MSPC news today gives them a Fundamental Valuation of a minimum baseline of .01+ per share with a maximum of growth for much higher levels later. I will explain more later, but I think it would be wise to explain the .01+ valuation first for MSPC.

The recent MSPC news indicated that its acquisition of which they have a 51% Controlling Interest in will be generating anywhere from $10.2 to $12 Million in Revenues for 2018 based on their record Revenues of $642,548 generated in Jan 2018 already:

http://www.etelix.com/


https://www.otcmarkets.com/stock/MSPC/news/story?e&id=1013961
We are projecting to reach a level of $1,000,000 in monthly revenue by the second half of this year, allowing us to reach a base-case projected $10.2M-12M in revenue for 2018.

I will presume a 25% Net Profit Margin to derive a Net Income amount to consider below:

$10,200,000 Revenues x .25 Net Profit Margin = $2,550,000 Net Income

MSPC Form 8-K filed on January 25, 2018 Confirming 51% Acquisition of Etelix USA:
https://backend.otcmarkets.com/otcapi/company/sec-filings/12493751/content/html

Now I will derive the Fundamental Valuation for MSPC based on all of what we know from what I have indicated above. Considering the volume in MSPC over the past few trading days, I will presume that the Outstanding Shares (OS) is 5,000,000,000 Shares as a worst case scenario. Consider the formula below to derive a valuation…

Net Income ÷ Outstanding Shares (OS) = Earnings Per Share (EPS)

$2,550,000 Net Income Annually ÷ 5,000,000,000 Shares (MSPC OS) = .0005 EPS

Now we must multiply the EPS by a Price to Earnings (P/E) Ratio to get a Fundamental Valuation to consider for where MSPC could exist to trade. The P/E Ratio is the variable that is multiplied by the EPS to get where a stock should fundamentally trade compared to the other stocks within its Industry or Sector. The links below should help to better understand the P/E Ratio logic as being the growth rate to help assess the fundamental valuation of a stock:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=57154170
http://www.investopedia.com/terms/p/price-earningsratio.asp

MSPC exists to trade within the Real Estate Industry and the Telecom Industrybetween 20.24 to 486.19 ratios as indicated below of which I would use the 20.24 ratio for the purpose of this post to remain conservative. I could have easily used 61.28 which is the lowest of PE Ratios for the Telecom Industry which can also be confirmed from the link below:

http://pages.stern.nyu.edu/~adamodar/New_Home_Page/datafile/pedata.html

EPS x P/E Ratio = MSPC Share Price Valuation

MSPC EPS = .0005
Real Estate Industry P/E Ratio = 20.24

.0005 EPS x 20.24 P/E Ratio = $.0101 MSPC Share Price Fundamental Valuation

Please use the Substitution Property and make any change to any variable to make such thoughts make sense to your liking. Respectfully, the post is not the gospel and is only to be used as a frame to have to be able to help paint your own picture that makes sense to you.

If one chooses, they can consider one of the other PE Ratios and see that MSPC could clearly be worth greater than .01+ per share. Even further, consider the Real Estate projects of which I will get into a little later.

v/r
Sterling