NetList Inc (NLST)

[AllinFun]

Well considering they continue to beat revenue projections over and over again and their current revenue projection for this year is $58 million, I would say just based on their revenue growth the market cap should be well over the current $350 million it sits at. Not to mention there are multiple lawsuits in order against most importantly Google which has been lopsided thus far in favor of NLST. We have not brought any valuation experts to the table yet but based on the tech that is patented and being infringed by Google, we can expect at least hundreds of millions in damages before any willful infringement multipliers are allocated. We still have substantial amount of time before any decisions here, but a settlement could come at any time. Many people are afraid of OTC lawsuits for patents as normally the tech giants just run the court through the mud for years hoping to empty the pockets of the patent holder and it's investors/lenders. The favorable piece here is that Netlist is in fact a very large company with it's own business operation that can fund it's way through court so it's not something to worry about.

The market cap here should be over $500 million just based on revenue. The company needs to work on it's profitability, but that will come in time as they continue to expand and perform at a rapid rate with revenue growth. The pending patent litigation should definitely add hundreds of millions to the valuation just in it's current state.