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Re: WHIP THE HORSE post# 9604

Tuesday, 01/29/2019 12:06:47 PM

Tuesday, January 29, 2019 12:06:47 PM

Post# of 164013
WHIP THE HORSE, Significant with that VYST valuation thought...

Respectfully, it's not that easy. There are more variables that must be considered before a fundamental assessment could be given for a $1 Billion valuation consideration.

First, I think it's important to know that the $1 billion should be considered speculative and not actual. Please, everyone needs to understand that VYST is not going to be a $1 Billion company anytime soon if such ever manifests into a reality.

Something that is actual is the over $35 million in Revenues for Rotmans. The vision they have to become a $1 billion company will take a long while before such would even exist to mature (I think). However, I will create the valuation as if the stars were to somehow align to consider if $1 Billion in Revenues was generated by VYST so that you can understand how such would make VYST worth more than the $4.00 per share amount that you posted. I will use the certain variables within the post below with using the Substitution Property:
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=146166501

$1,000,000,000 Revenues x .19 Net Profit Margin = $190,000,000 Net Income

$190,000,000 Net Income + $31,319,398 Tax NOL = $221,319,398 Adjusted Net Income

$221,319,398 Adjusted Net Income ÷ 250,000,000 (OS) = .885 EPS

.885 EPS x 36.53 PE Ratio = $32.32 Per Share Net Valuation

I think this is the reason why VYST believes that they can get to the NASDAQ without doing a reverse split. This is what I believe the management team for VYST is seeing which is the reason for them to buyback up to 250 Million shares which is approximately half of their Outstanding Shares (OS). Just think... even if I am half right or a quarter right or so, we are still talking about some levels substantially higher than where we're at now.

So, in closing, I do believe that the acquisition of Rotmans that was indicated within their last 10-Q that's scheduled to close around mid-February could position VYST to meeting the $4.00 per share minimum bid requirement for 30 consecutive days for the NASDAQ. However, the $32.32 per share valuation, if ever achieved, would take a good while later.

v/r
Sterling

Exit Strategy & Etiquette Thoughts for a Stock
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=128822531
I never give investing advice; only my beliefs for risks in a stock.

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