conservative eps valuation:
Good Morning!
I'm going to take a stab at a conservative eps valuation, please take into account that I don't know if the financials have been audited yet and I will make the most conservative estimates.
(All of these are my opinion only and I welcome any comments or corrections.)
Most Conservative Estimate of EPS Value Using Net Income:
Actual earnings for the first 9 months = 3.3 million net income/3 quarters = 1.1 million a quarter * 4 quarters = 4.4 million net income for the year. Net Income of 4.4 million/3,000,000,000 authorized shares (worst case scenario-I don't know the outstanding)=0.00146 earnings per share(eps) * 8 (conservatative p/e multiplier) = $0.0117 per share value. In my opinion this is the most conservative share value.
If we adjust any of these variables, for example I'll use the first 9 months net income + the 3rd quarter a second time (a reasonabe estimate) we get 3.3 million net income + 1.52 again = 4.82 net income /3,000,000,000 = 0.0016 eps * 8 = $0.0129 per share value.
If the oustanding number of shares is less than 3 billion the value goes up from there, for example 4.82 net income/1,000,000,000 = 0.0048 eps * 8 = $0.0386 per share value.
This my opinion only and I welcome any comments or corrections, I know my multiplier is conservative, It's nice to be able to do a eps valuation on a pink stock.
Thanks,
Jenners
