Yippy, Inc. (YIPI)

[novicetrader1]

I think, looking at Yahoo and its margins of around 25%, if Yippy is doing lets say 10M for 2012. So 2.5Mish for earnings on 67M shares, equals roughly .04 per share earnings. Now, what is a proper PE for a high growth company. Let's say 40PE, then PPS would be 1.60.

Now, take into account Rich's comment on customers lining up, revenue growth over this and next year, let's say they do 25M next year? I am just throwing numbers out, so don't shoot me, LOL. Margins could be much higher as could revenues, but thought this safe and conservative.

So, 25M with 25% margin is .09 EPS (earnings per share) now multiply that by 40PE, is 3.60 PPS.

Don't forget a buyout will not be at market price, but higher. All just my thoughts on the subject. Take care all and let's see merger completion news. I really believe once the merger and acquisition news hits, we will kiss 1 dollar goodbye and fly above 2.

Take care all and have a good day.