Friday, June 08, 2007 2:22:20 PM
In a previous post (repeated below) I had speculated on the pps if RSHN were evaluated by the market like other beverage companies. I did make on BIG mistake. I used the price/sales ratio for Pepsi Bottling Group (0.61) and not Pepsi-Cola. The P/S for Pepsi-Cola is 3.02. The new price table is:
RSHN
Sales $1M $5M $10M $50M
JSDA .0019 .0095 .0189 .0945
HANS .0011 .0055 .0109 .0543
Coke .0008 .0041 .0081 .0403
Pepsi .0005 .0025 .0050 .0250
It shows that on a sales-based evaluation, RSHN is very much undervalued compared to its peer group.
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Old Post
Does anyone have any idea what the annual sales are for RSHN? If we had an idea of the sales we could make some estimate of how the value of RSHN compares to other beverage companies.
Currently the price/sales ratio for the following companies is:
JSDA = 11.3, HANS = 6.5, Coke = 4.84, and Pepsi = 0.61.
Let's take 4 scenarios. Let's assume RSHN sales are either $1M, $5M, $10M, or $50M. Also assume 6 billion shares outstanding. To have the same price/sales ratio as each of these companies under each of the four scenarios the pps of RSHN would have to be:
******* $1M $5M $10M $50M
JSDA .0019 .0095 .0189 .0945
HANS .0011 .0055 .0109 .0543
Coke .0008 .0041 .0081 .0403
Pepsi .0001 .0005 .0010 .0051
If sales are at least $5M, we are way undervalued (except compared to Pepsi). Comments?
RSHN
Sales $1M $5M $10M $50M
JSDA .0019 .0095 .0189 .0945
HANS .0011 .0055 .0109 .0543
Coke .0008 .0041 .0081 .0403
Pepsi .0005 .0025 .0050 .0250
It shows that on a sales-based evaluation, RSHN is very much undervalued compared to its peer group.
*******************************
Old Post
Does anyone have any idea what the annual sales are for RSHN? If we had an idea of the sales we could make some estimate of how the value of RSHN compares to other beverage companies.
Currently the price/sales ratio for the following companies is:
JSDA = 11.3, HANS = 6.5, Coke = 4.84, and Pepsi = 0.61.
Let's take 4 scenarios. Let's assume RSHN sales are either $1M, $5M, $10M, or $50M. Also assume 6 billion shares outstanding. To have the same price/sales ratio as each of these companies under each of the four scenarios the pps of RSHN would have to be:
******* $1M $5M $10M $50M
JSDA .0019 .0095 .0189 .0945
HANS .0011 .0055 .0109 .0543
Coke .0008 .0041 .0081 .0403
Pepsi .0001 .0005 .0010 .0051
If sales are at least $5M, we are way undervalued (except compared to Pepsi). Comments?
