Now that is impressive lets post that!! Thanks for the link
Want to know something wild? SPNG has a market cap less than $5M but already has a FY ’09 order backlogs exceeding $23M! With net profit margins around 15%, this means SPNG should generate net profits of $3.45M in 2009. What kind of P/E multiple does an emerging growth stock like SPNG deserve…at least 20 or 30. The Dean thinks a 20-30 P/E is very conservative since Spongetech sold over 12,000 sponges in 5 minutes on QVC last week. Even a P/E multiple of just 20x 2009 earnings would mean that SPNG should be trading at $0.36 (assuming 192M shares outstanding). That’s an increase of 1,700% from the current price: two pennies! So what’s the catch? In The Dean’s opinion, SPNG has a steep discount because (1) greedy financiers are blowing out of stock and (2) in small cap land, Wall Street only pays a forward premium to established companies. Consider this a once-in-a-lifetime opportunity to invest in a company projecting next years earnings @ $3.45M while trading with a market cap of only $4M!
