If not during Year 1, we will reach or definitely go past $100M in revenue during Year 2. In couple of years, CHRON Org could be generating hundreds of millions of dollars in revenue.
Yes, the Authorized share count is at 1.5B and Outstanding is currently around 890M. However the explosive revenue numbers will fix this share structure.
For example: If the Company generates 250M in Year 3, with profit margin around 25%, we could see a 75M in profit. Let's say due to ESOP, the OS increases to 1.5B shares. The book value would be - $75M/1.5B shares = $.05 per share. If we use 25 times PE multiple, we have $1.25 price per share. And at a multiple of 100, we are looking at a $5 share price. That's hefty, but based on the revenue projections it is entirely possible.
IMO - The ESOP was done for two purposes: firstly to reward the loyal employees for their hard work and to retain good staffs. Secondly to ensure Company does not have to pay any cash bonus so the fund can be utilized to cover the installation cost and things of that nature.
As I have emphasized before - the success from herein lies in revenue generation and as Byron Young has previously stated $100M is entirely possible in the first year. With most of the deals being signed for multiple years, any additional deals made following years would be an addition to the revenue from the Year 1 numbers. So the revenue is expected to only increase. I am highly optimistic that the next year's numbers would be big.... I am sure Byron didn't give his projection of $50M-$100M just for fun. And by 2020, we could be looking at a formidable Company even in a bigger exchange. All I am waiting for now is the confirmation of the revenue numbers each quarter to see the trend.
And when Company keeps performing, sooner or later the share price will catch up. We could also see days in the next quarter when there will be tens of millions of shares traded within a trading day. If 2M-5M can effect 30% increase in share price, imagine how such volume would do. All IMHO.
$Chro!!!