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Re: Diabolic post# 13

Tuesday, 11/27/2007 9:47:24 AM

Tuesday, November 27, 2007 9:47:24 AM

Post# of 26
There is some seasonality in SHPI's business which is why Q4'07 may be slightly lower than Q3'07. Q4'07 will be much better than Q4'06.

Your historical PE is wrong. The trailing 12 months EPS is just under $0.03/share. So, the PE is 30 using a share price of $0.90/share.

As I stated in the following post I'm expecting earnings of $0.08/share next year:

http://investorshub.advfn.com/boards/read_msg.asp?message_id=24742741

IMO $0.08 in earnings next year will give SHPI a share price of $1.60 sometime later next year.

EPS growth will be driven by international sales, further organic growth, new products, and cost reductions. I wouldn't be surprised if my estimate is low but I'm hesitant to estimate more with what I know now.

Mike

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