InvestorsHub Logo

Moving On

12/28/18 6:29 PM

#39956 RE: schecter #39949

I like to value a company on the net present value of future cash flows. As you mention one order could double the price but it adds no real value to the company. That is why we should focus on the NPV. The only data we have is $7.6 Million in EBITDA for 2016. That should be adjusted upward as the new Mountain Lakes Medical Center was not open in 2016. A company like InMed would sell generally sell for 5 times EBITDA.
If we set the EBITDA at $10 Million to $12 Million with Mountain Lakes that gives us a value of $50 Million to $60 Million for InMed. That being said InMed is the first of multiple acqusitions. There is no telling at this point how many acqusitions there will be. At a minimum the market cap should be at least $50 Million or $60 Million based on what we know so far.