Replies to post #1287 on Celsius Holdings Inc (CELH)

[mullimatt]

Interesting Comments by Jan Norelid, CFO:



http://www.redchip.com/visibility/conferencePages/FTLauderdale2009/conferenceMain.asp?page=webcast#


(3rd from bottom, Interview Video in the middle)



If the above link doesn't work, copy and paste this link into your browser:
mms://wm.vitalstreamcdn.com/aurelius_vitalstream_com/RC/FL2009/Interviews/CSUH_FL2009_int.wmv



Listen to the video. From the 5:02 - 5:10 mark Jan says: "We have 150 million shares plus some convertible preferred shares, so total market cap of around $50 million."



The interview took place on June 16. On June 16, CSUH traded between $0.17 - $0.19


Assuming $0.17: $50,000,000 shares/$0.17 per share = 294 M shares

Assuming $0.18: $50,000,000 shares/$0.18 per share = 278 M shares

Assuming $0.19: $50,000,000 shares/$0.19 per share = 263 M shares



It appears that when valuing his own company, Jan (CFO) takes into consideration all convertible shares when calculating the market cap (e.g. preferred shares, warrants, bonds).



My point: The previous valuation that I posted (high/medium/low) is probably best interpreted by looking at the far right column (i.e. 295 M shares as the O/S instead of 149 O/S).

[Radhiker]

A question then on the current prices. It seems that the behavior of this stock is relatively strong looking at its history (albeit limited). It seems to have strong support vs pure speculative play with volatility. Even with the relatively negative news, the time it took to drop was impressive and the drop has not been as steep as would be expected.

I wonder if some seven-eleven owners in FL were part of the run up (pure speculation on my part since I live in CA).

Based on mullimatt's good analysis, we seem to be very overvalued (I am a long starting at 0.19) but wondering what is keeping the support so strong.