AMRE Posted by: TRADE_4_MONEY
In reply to: None Date:5/24/2005 3:49:46 PM
Post #of 70
If you value AMRE based on the valuation of what the company owns at the current prices, AMRE worths over $3.7 a share.
As you know the recent AMRE rise has little to do with chart or TA, it has something to do with the fundamental changes - or NAUC IPO and the steady rise of NAUC. It is sort of like a drug company has just been approved by FDA on a blockbuster drug. I think now people just realized the close link between NAUC and AMRE, as NAUC rises, so should AMRE (even with a big discount rate). Even as NAUC falls, AMRE could still go up as the huge divergence exists between the valuation of AMRE and NAUC. AMRE's recent 10Q just gives an offical confirmation that AMRE indeed owns 51% of NAUC.
AMRE owns 25,000,000 shares of NAUC (net2auction), today NAUC is trading at at $4.50, AMRE's NAUC holding worths at $112 millions.
In addition to 25 million NAUC common shares they owned, AMRE also owns 6.5 million PREFERRED stocks of NAUC. The 6.5 million preferred shares could convert to 12 million additional common shares with a 1 to 2 conversion ratio. The 6.5 million preferred shares can easily add additional $50 millions to the table.
So based on NAUC's current market capitalization, AMRE should worth $162 millions.
Now lets look at RBSY (roboserver), RBSY is trading at 1.16, they also own 25 million shares, it translates to $ 29 millions. They also owns 6.5 millions preferred RBSY, this 6.5 million shares could translate to 12 million shares with 1 to 2 conversion ratio, it adds another $14 million.
NAUC and RBSV alone adds $162 + 29 + 14 = $205 millions to AMRE.
This valuation does'nt even include their other divisions such as the Harley motorcycle rentals, Self-Serve Technologies, Inc., and its 40% ownership of 449 and WDHQ, if they bring some of these divisions to IPO too, watch out, lol.
Per Transfer agent, AMRE has 49 million OS as of May 23, 2005 $205 millions divided by 49 million shares translate to $3.75 per share!!
So at the current price of $0.13, AMRE is trailing by $3.62 or with 96% discount over its fair value based on the market cap of its subsidaries.
