Spongetech Delivery Systems, Inc. (fka SPNGQ)

[Mingy]

Fair Value thoughts,


25M a month in sales
12 months
20x pe
20x profit margin

= 1.2B I think is fair value market cap. Remember we bought dicon, so our profit margin should be higher. And 20x PE is low IMO, we grew 1000% YOY, and continue to come out with new products, and big agreements. Remember, MM said there best products not released yet. Kitchen sponge is gonna be huge.

So divide 1.2B by whatever you want as far as OS. I have done the math and get an OS of 349M, based on RME only having 66M shares, they retired the balance, just as they did back in april when we went from 1.2 shares down to 722M. Then factor in buybacks, we get 349M. So 1.2B/349= $3.43 fair value.

Now base the number off the rumored 322M OS, fair value = $3.72. Take notice to the rumor of 322, and how pike owns 160M, so that makes them own exactly 49%, interesting indeed.

Add what I call the squeeze multiple, and who knows how high this puppy could go. 5x Fair value doesn't seem nearly out of the question given naked short position is 5 times the outstanding shares, and with a float of zero, Bye Bye shorty.