AI
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| Alias Born | 08/18/2004 |
Friday, April 29, 2011 3:23:24 AM
Why I think JBI is going to $30 in roughly the next 5 months, maybe sooner, POSSIBLY.
You can get a better sense of my line of reasoning using this spreadsheet.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=62543927
John stated he wants $5 million for building 5-6 processors. One is operational now, and the 2nd should be operational in the near future. 5 additional processors should be online before the end of 2011, possibly many more.
The market will often times look out 6-12 months.
7 processor assumptions(again, trying to be conservative in most aspects):
60,000,000 Shares Outstanding
$100 received for the fuel
$10/barrel cost of production
45,000 barrels/year)
40% tax rate
PE 100
------------------------------------------------
EPS=0.2835
Stock price=$28.35 in this scenario.
I believe all assumed variables are conservative at the present time. PE could easily be double due to the ease of processor replication, the size of the potential market, and the allure of such a breakthrough in the alternative energy field. Oil could still rise significantly from these levels, and the assumed price is well below what many believe JBI will receive at todays prices. Production cost have been talked about being under $8/barrel. O/S accounts for 5 million more shares. That could raise over $10 million more.
Obviously, there is still much to prove. The next 3-5 months may be able to give a resounding answer to each variable.
Who knows if this will really happen, but it doesn't seem out of the question to me.
I may have messed up some of the math, or the reasoning here. Any discussion/feedback/corrections are welcome.
You can get a better sense of my line of reasoning using this spreadsheet.
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=62543927
John stated he wants $5 million for building 5-6 processors. One is operational now, and the 2nd should be operational in the near future. 5 additional processors should be online before the end of 2011, possibly many more.
The market will often times look out 6-12 months.
7 processor assumptions(again, trying to be conservative in most aspects):
60,000,000 Shares Outstanding
$100 received for the fuel
$10/barrel cost of production
45,000 barrels/year)
40% tax rate
PE 100
------------------------------------------------
EPS=0.2835
Stock price=$28.35 in this scenario.
I believe all assumed variables are conservative at the present time. PE could easily be double due to the ease of processor replication, the size of the potential market, and the allure of such a breakthrough in the alternative energy field. Oil could still rise significantly from these levels, and the assumed price is well below what many believe JBI will receive at todays prices. Production cost have been talked about being under $8/barrel. O/S accounts for 5 million more shares. That could raise over $10 million more.
Obviously, there is still much to prove. The next 3-5 months may be able to give a resounding answer to each variable.
Who knows if this will really happen, but it doesn't seem out of the question to me.
I may have messed up some of the math, or the reasoning here. Any discussion/feedback/corrections are welcome.
To know the truth, one must get rid of knowledge, as nothing is more powerful and creative than emptiness.
