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Re: penn33c post# 7392

Wednesday, 08/26/2020 12:39:35 PM

Wednesday, August 26, 2020 12:39:35 PM

Post# of 7536
Exactly.
My take: the ultimate buying opportunity is happening right in front of our eyes!
It spiked to almost 30, so profit taking was in the cards.
The $22.5 private placement could have risen the indication that the stock spiked too fast. (But a discount within a PP is normal, due to trading restrictions on the certificates.)
EBITDA forecast Q3 is lower than the realised Q2 EBITDA. But that makes complete sense because:
-hiring of reps has been going on at an increased pace. Thanks to COVID more salesmen were 'for hire'. 335 reps hired at July 28 (day of CC). If they will be able to hire 40 additional reps / month (like they did in the last months), the ultimate goal of 500 reps will be reached in November 2020. Remember that they indicated to go for 400 sales reps by the end of 2020 in a previous CC!
-these salesmen, when starting their jobs, initially cost more money than they 'deliver'. Think of training costs, while skills have to be developed along the way.

These reps will not be sitting idle. As Sandgaard stated, an experienced sales rep is able to generate revenues of $1 million / year!

Gross margins remain stable. (80+ %)

Hiring pace will decrease at the end of the year and revenues per rep will increase sharply during the end of 2020, but certainly in 2021.

So you do the math…
I stand with my $100.- shareprice in 2021, ultimately 2022.
GLTA. I am loaded with ZYXI
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