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NXTI Revenue
As a value investing shop, we are interested in seeing how NXTI's revenues measure up against past performances. One easily understandable way of doing that is to compare Price to Sales per share levels over a given time frame. Assuming it is available, Ockham prefers to look at ten years of history (for this stock there are 10 years of history available) and we weigh recent years more heavily. This allows us to find weighted average historical high and low Price to Sales ratios, which give us a better idea of the stock's current underlying value. Using this method, we have established a high range for Price to Sales of 1,660,465.71x and the low end of the range at 23,721.12x.
With respect to these historically rational metrics, notice that the current Price to Sales per share ratio for NXTI of 0.05x is well below its normal historic Price to Sales levels. At a price of 0.03, NXTI is 100% below where we would expect to see it. Clearly, this stock looks undervalued compared to historical levels, at least on a Price to Sales basis. This will positively affect our analysis because it is rare to find a stock this far below historical norms, and we would expect some price appreciation to bring this metric back towards a more normal range.
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