Drinks Americas Holdings, Ltd. (DKAM)

[Drugdoctor]

Market cap my friend... 30,000,000 shares x $.05 = $1,500,000. That's all the company is valued!

There are many measures of value for a company, but I believe that Price to Sales is a good measure. If you believe the company will sell 5 million dollars of Rheingold beer in the next 12 months, then you normally double the revenues and divide by the outstanding shares to get a reasonable price, say, in the case of a buyout.

So if you take $10,000,000 and divide by 30,000,000, you get a value of .33 per share...

.33 x 30,000,000 shares gives a market cap of about $10,000,000.

And I'm not including the Olifant vodka or the other products at all, just the Rheingold beer.

So now you understand why I have been saying DKAM is OVERSOLD...
A 1.5 million dollar market cap is laughable and a run to .15 to get near at least a 5 million dollar market cap in the short term is very very likely, imo, as the company begins to recover the lost market cap it deserves!