Derf's Grotto

[fung_derf]

AHA!

newmedman Member Level Tuesday, 04/01/14 04:03:35 PM
Re: Tearex post# 912 0
Post #
914
of 3669
I guess it could reach six, but I don't think we trade up there until earnings can justify it.

Even the high of 4.70 was basically a rogue trade for a few shares.

[Perfect world scenario]
The analysts are expecting .02 for Q4. I'm expecting .03, so that would put the year end EPS at .15 per share. This is a whopping 400% increase from last year's .03 per share.

What kind of P/E should that kind of growth command ? I say at least a 30
We're currently at around 30 so that's a 4.50 pps. at .15 EPS

At 40 P/E we're trading at six which I think would be the top of the range for now.


The growth in the last 12 months was astonishing, now we have to see how much more they can do.
I'm looking out to Q1 and Q2 to see if they can beat last years' numbers. I suspect they will and that will be where the real fun begins.

I've already told a few others that I think this is an easy 5 by years end, solely based on earnings.
6 would be even better.

[worst case scenario]
Well goes boom, medman goes broke.