EXPLODING NASDAQ Penny 4 x CASH FLOW
With $420 million in sales and a Price/Sales ratio of 0.13, PFSW:NASDAQ ($1.47 + $.10) IS THE MOST UNDERVALUED INTERNET STOCK BY EVERY MEASURE.
1) HUGE DISCOUNT TO SECTOR: Trades at HUGE discount to other Internet stocks. PFSW has a Price/Sales ratio of 0.13 compared to an Industry average of 1.76.
2) Analyst JUST RAISED PRICE TARGET TO $3.50.
3) VALUATION: IF PFSW ACHIEVES "TYPICAL" VALUATION OF 12 X EBITDA IT WILL BE A $4 STOCK.
PFSW earned $3.4 MM EBITDA (cash flow) last quarter before one time charges and should conservatively earn $15 MM annually EBITDA going forward. THAT MEANS PFSW IS TRADING AT 4 X CASH FLOW AN INSANE VALUATION.
4) ECOST BECOMING PROFITABLE: PFSW subsidiary, ECOST WAS A $20 STOCK PRIOR TO BEING ACQUIRED PFSW. ECOST margins and sales are improving dramatically and will be PROFITABLE next quarter.
5) PROFITABILITY: PFSW is now profitable and will post very large profits in Q4 2006, which is by far its STRONGEST quarter.
6) EACH of PFSW 2 divisions, Business-Ecommerce consulting and ECOST, are worth more than PFSW current $60 MM market cap. Prior to being aquired by PFSW, ECOST HAD A $300 MILLION MARKET CAP AT ONE POINT!!
7) PFSW's bottom line results will show SUBSTANTIAL improvement going forward- PFSW cost base will be SUBSTANTIALLY lower going forward as slashes overhead and competete the integration of its ECOST aquisition.
8) Insiders have purchased Over 170,000 shares in last year.
9) Expanded call center capacity by 50% to handle call growth.
PFSW won't be a secret much longer. PFSW has all the ingredients for rapid price appreciation: An internet stock that has turned the corner to sustained positive cash flow.
AI
