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Wednesday, 02/06/2008 8:10:48 PM

Wednesday, February 06, 2008 8:10:48 PM

Post# of 241044
Keep your eye on the prize people. How much is JUST Home Depot worth to us?!?... Repost...

Im going to attempt to do the math on the Home Depot deal using the figures we have obtained from posters here... One poster said the HD employee told him they sell about 30 bottles per day, the other poster heard 20 from an employee. I am going to use the LOW figure for this (20)...

Lets assume that the "wholesale" price is about $3.00. Ive heard that its MORE than this, but i am going to use this figure to keep things conservative....

20 bottles per day X $3.00 lowball wholesale figure = $60.00 per day for one store

$60.00 per day X 365 days in a year = $21,900 per store, per year.

$21,900 X 100 Canadian Home Depots = $2,190,000 revenue per year through this 100 store deal.

Thats some serious scratch for 100 stores!

Now, if its selling THIS WELL. I am almost positive that it will roll out into ALL the Home Depots (2200 stores). Home depot is the BIG DOG cause they know how to take advantage of sales opportunities...

2200 stores X $21,900 per store, per year = $48,180,000 possible revs per year.

Now, to make up for any discrepancies, lets remove HALF OF THIS FIGURE = $24,090,000 revenue per year for ONE product, in ONE chain.

Im pretty sure the profit margins are 50%+, but to be CONSERVATIVE, i am going to use a slim 30%

$24,090,000 revenue X .30 margins = $7,227,000 profit for this SINGLE PRODUCT in this SINGLE CHAIN. This is almost .01 EPS!

Add a 25 p/e on this and we're looking at about .25 per share!

Remember, i was being CONSERVATIVE on EVERY figure.

How do ya like them apples?

My posting contains many opinions. So please do your own research and validation.