Polar Power Inc (POLA)

[southacresdave]

ebase22....I honestly believe they hit it in Q1. To do so they would need:

$10.5M in revenue x 37% margins x $2.5M expenses (up $200K from Q3 which they said was bloated a bit) x 0.74 (26% for Federal and Calif Taxes)= $1.025M or 10 cents/share.

I can't imagine they have added in the manufacturing facilities and automated equipment at the rate they have done the last 4-5 months to not be planning on building revenue to levels far higher than $10M/qtr. I can see there being issues in Q4, but I can't in Q1 seeing issues that keep them from reaching at least $10.5M. Even with their normal level of incompetence I think they make it.

Q1 isn't my worry. I wonder about behind this quarter. Can this business get to $15M/qtr in revenue or not? Can they get the international orders? Can they build on US orders more? Can they diversify into other areas (army SMET, other military, natural gas--solar partnership)? And, just as importantly, if they can get the orders can they actually run a plant at that level without messing up?