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Re: snow post# 4845

Wednesday, 09/29/2021 3:23:08 AM

Wednesday, September 29, 2021 3:23:08 AM

Post# of 9466

You have left out earnings per share in your ciriteria. I think that is very important.



No, I haven't. The component "Valuation" is a direct reflection of earnings per share. ITUP gets a score of 12.6. Usually 10 should the highest but then again we are trading at a P/E of 0.25. lol.

Even if the small part of HERB we have numbers for has grown nicely during the last year the part that really matters (the plantations) cannot be assumed to have grown at all.



This isn't true. The plantations are growing some 6% annually. Also, there could be a massive, massive, hemp expansion in there. Or something else we don't know about.

As for ITUP, the score for growth is based on the current numbers. So growing from these levels will be much harder than a year ago. It could even drop by 50% in an off-year for all we know. Still, I gave them the benefit of the doubt by giving them a score of 9 for growth.

A p/e ratio of 20 and earnings per share of 20 dollars results in a stock price of 400 dollars for ITUP even based on diluted numbers. That implies a comparable pps for 20 dollars for HERB to be equally cheap based on the relation value to the recent stock price.



Nonsense, do the math again.

HERB is making $200M annually and the market cap is $16M
ITUP is making $350M annually and the market cap is $120M.
So it is easy to see that you are wrong.
There is cheap, and then there is cheap smile

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