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Re: magicatlast post# 30234

Friday, 04/01/2011 5:20:05 PM

Friday, April 01, 2011 5:20:05 PM

Post# of 53999
Very interesting. My thought is this. If the Gander Deal is anywhere near where you say, how can the market price be cut in half?

The value of the deal will be reflected in the quarterly report. Once the Q-Report comes out after the reverse split, they price will skyrocket back up to a reasonable valuation.

If the market cap halved right now, that would put the present P/E at 5.5x earnings with projected increasing sales over the next 2 years, no debt, and as it stands today about 500k in cash on a company with a market value of approximatly 5-6 million dollars (in your R/S scenario). That is a BUY. Even freshman finance students know that. Honestly, as I have said before, if the market cap gets halved after the R/S, find some cash and put into VTSI, because at todays valuation, the stock is cheap but at that valuation (6 million dollars), this stcok would be highway robbery.

I would gladly see my current holdings decrease to 50% in value to get an opportunity to buy some shares at that price. I dont think it will happen, but I will have cash ready to profit off of panic investors.
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