Tracy Welch has done 36 acquisitions from $10-$500M. I think that guy knows what he's doing. Plus wasn't inorout's whole argument that why did we get MD and Sunworks so cheap? Everyone has been saying how we basically got MD for price of their assets. Sounds like JN has already gotten two companies for very cheap relative to what we're getting in return. I see no reason to think this wouldn't continue, especially with T. MFing Welch on board.
Now I disagree with your premise that the larger the company, the less growth. On the contrary I'd say small $500k-$1M companies have a harder time growing rapidly because they aren't well known and haven't developed a reputation and brand. Its easier for bigger companies to expand quicker because they have bigger marketing budgets, more advantageous financing, better known brand, trusted more, cover more territory, etc. That's why you see big guys like Vivint still growing 100%+ every year even though they're giant.
In other words, the bigger the company the easier it is to grow IMO.
You said what if the acquisitions only grow by 50%. Well if you read my $90-$210 million 2016 detailed revenue projection you'd see that even if the worst case scenario happens where we get two $10M acquisitions and they only grow 50% 2015-2016 and Sunworks and MD only grow 50% 2015-2016 (assuming only $40M revs from them 2015), we still bring in $90 million revenue 2016 which is more than the current market cap.
Using the same super conservative 50% growth scenario except now we get two $20M acquisitions that grow 50% 2015-2016 then now we get $120M revenues 2016, almost twice the current market cap.
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