Alterras Systems Inc (fka ASIUQ)

[upshegrows]

Let me get this straight. You're pointing the finger directly at me (although as you claim you don't do that) and suggesting I don't use comparable analysis...

Interesting how USG never provides any comparable scenarios or analysis. It is evident USG's only purpose on this board is to refute any opinion or insight I may have.

You write this after wasting your afternoon writing a long diatribe telling me why Alterrus (a vegetable grower) can trade at nosebleed levels by comparing it to the IPO of a clothing company(yoga gear)... I can't wait for the first Alterrus analyst to hit the streets with his riveting comparative study on micro greens vs. stretchy pants.

As I mentioned before, I believe that if they hit > $2 Million revenue per unit (sized similarly to the rooftop), profit is achievable. And with that, substantial share gains. Remember, Lululemon's IPO was in 2007 at $18.00 a share. Obviously my calculations of share price potential isnt an overnight event, and would take 5 - 10 years more than likely with continued expansion. So let's look at Lululemon between 2007 and 2013.

At IPO, profit was 0.05 at the second quarterly from IPO (the first one was $0.00). At $18/share, that was a PE ratio of 360 (at their peak share price, sometime last year, the PE would be 160/0.05 = 3200). So the growth over those 6 years was a maximum of ~9 times. And, they are still growing, opening stores in Asia, Europe and even more in North America with new stores, such as iVivva.

So to state that even if Alterrus is able to achieve $0.005/share profit, with an installation in major North American City, even with 150 Million shares, there is considerable growth potential in the stocks price. Again, not saying its going to happen, just saying the potential is there. High risk, high reward.

You then follow it all up by promulgating - I'm right until someone proves me wrong with facts.

no need to give any comments disputing my opinions unless you can provide evidence/facts, or critical thinking insight that would be worthy of a discussion

That, even though your entire diatribe was based on complete subjectivity and comparisons between companies in vastly different industries.

You talk extensively about Lululemon's IPO as a comparison. (I can't believe I'm actually going along with this). How about doing a comparison for us on Lulu's IPO financials to Alterrus's current financials. If you're using the same multiples then they must be similar right?

Hint:

LULU was a fantastic business. It had greater than 50% gross margins and a net margin of over 5%. You quote the share count as 150M for Alterrus and your math suggests that doesn't change over time although you've got them operating in every city in North America.

How does a company with negative equity, a lack of unencumbered assets to borrow against going forward, $36K in the bank, COGS that are currently 1.5X more than the Sales, with total 6 months sales representing .46 of other expenses not including COGS , and who is trying to mend borrowing relationship due to continued broken debt covenants ... expand without diluting?