InvestorsHub Logo

southacresdave

11/29/18 12:00 PM

#576 RE: southacresdave #575

We all own this stock in the hopes POLA does $15M+/qtr in revenue. Not in 2020 or 2021, but starting sometime next year. At least that's why I'm here. The U.S. telecom market is on fire and POLA needs to ride that wave now. Imo, $15M/qtr is what gets the stock to $12+. Today's news may not have given us all the info needed to move the price up today, but it is exactly the kind of news we need to get to that goal.

$15M x 40% margins = $6.0M. Figure they continue to expand operations (maybe in Asia with another office similar to what they are building in Africa). Figure they run extra shifts. As such expenses are $3.0M to do $15M/qtr. $6.0M - $3.0M = $3.0M profit. x 74% to take into account Fed and State taxes = $2.22M net income. Divide by 10.4M in shares (up a bit more after options early next year). = 21 cents/share.

$15M in revenue imo makes at least 21 cents/share. Margins could be better on that revenue. Expenses maybe a smidgeon less (as they already have most of the mid-management needed to run it). That to me makes this a $12 stock for sure on a p/e of just 15. It's probably higher with momentum or if backlog is growing or they are talking about rolling into housing industry somehow (tied with solar power company and lpg).

Today's pr is just another step needed to this goal.