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Travis Crider

04/03/18 7:17 PM

#73559 RE: Karma11 #73558

I agree the PE could be 25. If they hit 17 million in a year, or 2 or 3, then it should be MUCH higher of a PE. It should likely be a 50 PE or more in that case. I don't follow you though on the 1 billion OS. In the case of a buyback or a share retirement, this could lower the OS, but the PE ratio will not affect the OS. The example I showed assumes a fully diluted 25B OS. With 17 million in earnings and a 15 PE, that would be a share price of just over a penny. It's very conservative Imo, but is an easy path to a penny in SP.. also, u could say 8.5 million in earnings with a PE of 30. PE RATIO doesn't really affect any OS. The primary thing that warrants a higher PE  is growth. This is why I say it's conservative and the PE would likely be 50 or more if they hit 17 million in earnings (net profit) in a couple years... the path to a penny is best obtainable with 8.5 million In earnings IN 1 FISCAL YEAR and a 30PE... basic math, but all imo.