IMHO no buyout OFFER would come close to the future value of JBII (this early in the game)...
it is a quick clean HIT that TAKES the LOOT & RUNS!
Real good, maybe, in the eyes of momo & trade players who have grown bored sticking around an uncharacteristic 2+ years!
However, the quick hit leaves far MORE $$$$ on the table for the purchaser to scarf up IMO.
Many new concept companies trade at 100s-1000s X earnings because of HYPE & HOPE! Recent examples... eBay, Google, facebook, Amazon...
took amazon almost 10 years to show a profit... theoretically, the first decade that AMZN traded... it was at an INFINITE P/E.
These are all NON-COMMODITY companies... JBII benefits from rising oil prices... JBII is like owning FREE OIL RESOURCES right now! Could... probably will... change in the longer term. However, whatever the future cost of the "raw material"... the value of the output fuels will still be MUCH HIGHER!
A while back, someone calculated the PPS of JBII based on the first 3 processors producing & a P/E of 10... $7.78. (This was from one of the LONGS who often crunches numbers... for some reason I cannot seem to remember which one. This has happened before... LMAO... but I do love his numbers!)
Crude but assume 100 processors... 33 X 7.78 = 256+.
(Even IF each revenue producing P2O processor is only worth a buck toward the PPS... with 100 processors, $100 bucks is not too shabby!)
100 processors online will barely cover the needs of the SSCC network of clients for JBII.
WHAT will a second (or third, or next) deal do for the JBII PPS future possibilities?
"I call investing the greatest business in the world because you never have to swing... All day you wait for the pitch you like,... The problem when you're a money manager is that your fans keep yelling, 'Swing. you bum!'"
W. Buffett
AI
