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DogOnWeedStreet

10/21/19 6:32 PM

#11929 RE: shareslanger #11922

Yeah, It’s a shame that automotive A.I. isn’t as glamorous as weed.

MD revliS

10/21/19 6:52 PM

#11936 RE: shareslanger #11922

If ALPP wants to sell the business right now to Berkshire Hathaway..
Using a conservative multiple of 5 × revenue..
Then it is worth a $140 million Market Cap.

However, IF that is the wrong approach to calculating value, THEN I would say it should at least be sold at 125% of Sales..
Giving it an easy 30-40 million $$ market cap valuation RIGHT NOW.
So 30 cents to 40 cents should be the price in that scenario..

IF this High Growth company ever reaches 100 million in revenue and 10 million in earnings then one might calculate the value like this;

125% of Sales + 10-12 × earnings

125 million$$ value based on a break even company with 100 million in sales at 125%..
AND 10-12 × the earnings of 10 Million$ for a total potential Fair Market Cap of $200-220 million.. meaning ALPP should be trading around $2.25 in that scenario.