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Re: TipJensen1 post# 5785

Thursday, 11/23/2006 9:45:19 PM

Thursday, November 23, 2006 9:45:19 PM

Post# of 19383
you can't do DCF now with one restaurant. What I'm saying is with a few and plans for further expansion, it starts to look very cheap...it's a company under 50 million dollars. To say it's priced for perfection but could also go to 20 at some point is nonsense. Priced for perfection with the potential for outlandish returns is a contradiction.

I agree with you about only one thing here: the weakness of the balance sheet could hurt them: they could always issue more shares or borrow money, but apparently, according to Rawnoc, don't believe they'll need to. We shall see. The negative working capital aside, the lack of long-term debt will make it possible for uWink to borrow if need be.