Neutra Corporation (NTRR)

[stervc]

Edited: OCMillionaire, Important with this Huge NTRR Valuation...

Initial post:
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=155976990

Edited Version:

Those valuation thoughts regarding NTRR do hold merit. I think what you posted should be discussed logically here within the forum. I'll start the conversation...

You posted that what NTRR has for their hemp operations could transform into a $600,000,000 operations. I think this is the first piece that should be logically deduced.

From the link below, I see that you are using the minimum number of 1 million pounds of hemp biomass per month by Paragon Processing from their 45,000-square-foot facility located in Colorado Springs:
https://www.agriculture.com/news/crops/largest-industrial-hemp-processing-plant-opens-in-colorado

I think this is a good example because when you go to the Paragon Processing website, they too have a "Seed to Shelf" operations as do the same here with NTRR:

https://paragonprocessors.com/


The link below shows that the price of hemp per pound is $57 per pound and is expected to grow to be $65 per pound:
https://kush.com/blog/hemp-biomass-prices-2019-a-look-at-q1-sales-data/

So...

1,000,000 lbs of hemp biomass x $57 per pound = $57,000,000 Monthly Hemp Biomass

$57,000,000 Monthly Hemp Biomass x 12 months = $684,000,000 Annual Hemp Biomass

Courtesy of Hennypennyaz, who is far more knowledgeable within this arena than I, are three posts that I think all should read and understand why I believe it is fair to consider an 80% Net Expense Margin which would warrant a 20% Net Profit Margin:
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=155985665
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=155985689
https://investorshub.advfn.com/boards/read_msg.aspx?message_id=155985894

So... this would mean for Net Income...

$684,000,000 Annual Hemp Biomass x .20 Net Profit Margin = $136,800,000 Net Income

Within the market, especially within the penny stock world, there is always the present consideration of dilution that exists. The last reported number for the Outstanding Shares (OS) for NTRR is 1,050,898,753 shares as indicated within the OTC Markets link below per Transfer Agent (TA) confirmation:
https://www.otcmarkets.com/stock/NTRR/security
(Make sure to read my email of the TA response today at the end of this post.)

If anything changes with the number for the OS or any other variable that I used above or below, then simply use the Substitution Property to substitute out or replace that variable with the changed variable. I'll post some examples, but for now, I'll continue. The OS is the key fundamental denominator that's used to determine the fundamental valuation of a stock from the formulas of...

Net Income ÷ Outstanding Shares (OS) = Earnings Per Share EPS
Earnings Per Share (EPS) x Price to Earnings (PE) Ratio = Share Price Valuation

So...

$136,800,000 Net Income ÷ 1,050,898,753 shares (OS) = .13 EPS

I'm going to presume a conservative PE Ratio of 15 for the Hemp Industry...

.13 EPS x 15 PE Ratio = $1.95 per share valuation

The question now becomes... Who is going to believe that NTRR is worth $1.95 per share? To some, I'm sure this value for NTRR is far from being conservative. Let's use the Substitution Property to replace some variables that might make more sense to some.

Let's presume that the OS is 2 billion instead of roughly 1 billion. Then since that would be an increase by a factor of 2, then that mean to simply divide the valuation by a factor of 2 which would mean such to be...

$1.95 per share valuation ÷ 2 = .975 per share valuation correction

Let's presume that the size of the area is not 45,000 square feet, but instead is 10 times less to be 4,500 square feet. Then since that would be a decrease by a factor of 10, then that mean to simply divide the valuation by a factor of 10 which would mean such to be...

$1.95 per share valuation ÷ 10 = .195 per share valuation correction

I hope you get the point. Bottom line, the valuation is unknown for now, but if it is officially released that the property is much greater than 25,000 square feet as some have learned, then prepare to do a valuation to each liking to determine what will be considered the fair value for NTRR.

Oh, and by the way, the NTRR Transfer Agent (TA) responded to me today regarding the share structure and she told me to pretty much go by what they have indicated on OTC Markets which reflects the OS to be 1,050,898,753 shares:
https://www.otcmarkets.com/stock/NTRR/security

v/r
Sterling