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Armafair

02/05/19 9:41 AM

#210756 RE: Felo31 #210749

From that same article..

"Activision trades at just over 2X 2012 estimated revenues. Electronic Arts trades at 1.7x times the same estimate. Non-publisher game companies, where revenues may often come from a single title, will have even lower price/revenue multiples. Conversely, the game companies that get higher multiples are ones that own more of a publishing/distribution platform, such as TenCent in China. These companies are able to extract rent from whatever the hot game happens to be, and are therefore less vulnerable to “hit” risk."

(My emphasis)

Sounds a bit like Amfil Tech, no?

coydiggity

02/05/19 9:44 AM

#210761 RE: Felo31 #210749

From the same article:

"What is that hot new company worth? This graph would suggest that the company’s revenue alone is a very poor guide."

In the case of Snakes & Lattes, 2X revenue is very undervalued for where things are heading. The business model is proven in Toronto, and off to a great start at the first location in the USA. With many more to come.

There are companies on this exchange that run hundreds if not thousands of percent and have zero revenues. In the case of AMFE, this could get nuts in a heartbeat.

Don't you think the Snakes concept could be the "hot new cafe/restaurant"? Have the initial Tempe reactions not been very positive?