Replies to post #11164 on Aero Performance Products Inc (fka AERP)

[moon2mkt]

i see people making mistakes in PE calculations...

i understand the excitement of the merger etc.
but please don't take guesses on shr price
based on revenue calculations ...

I think many are making a mistake of calculating
shr price using revenues instead of earnings.

P/E is Price/Earnings-per-shr not Price/Revenues-per-shr

so if Revs are 10M and O/S is 400M ;and to use P/E = 15

if we assume earnings are 10% of revenues, then
if Revenue is 10M then earnings=1M
so shr price should then be
[1M * 15]/400M = .0375.

----
my opinions only. please do your own dd.