Valuation scenario - $1.00+
For early stage companies like this, P/E can be meaningless, better to go with P/Sales or P/Book
TSLA has 22B assets - 17B debt = 5B Book Value. 10B Sales. 50B valuation (aka Market Cap, Price).
That's a p/b = 10, p/s = 5
I've seen higher p/b for companies with less debt. E.g. TSX:BTL's p/b is over 60
I assume:
1. DOLV doesn't have a lot of debt (and how could it yet? It's brand new)
2. It has assets of 100M, which their manufacturing plant could easily be worth
And I can easily see how this company could be worth 1 Billion or more (with conservative p/b of 10), which would justify DOLV maintaining PPS of $1.00+ After financials are released.
This is just one scenario, and there are certainly other possibilities that could increase DOLV's value.
There are also downside risks, but I see upside outweighing them.
I am long DOLV