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olandug

06/24/10 10:49 AM

#431888 RE: roelien #431883

AMSZ could go as high as .27 - Gregory Antoine, projects year end revenues of $10,000,000 with EBITDA of $2,000,000. EBITDA means Earnings Before Income Tax, Depreciation and Amortization. So, let's say Earnings AFTER ITDA = $1,000,000 {or half of the Earnings BEFORE ITDA} = net income.

$1,000,000 net income divided by ~150,000,000 OS = $.067 EPS {Earnings Per Share}.

Apply the PE ratio of 20 to $.0067 = $.13 PPS {Price Per Share}.

Apply the PE ratio of 30 to $.0067 = $.20 PPS {Price Per Share}.

Apply the PE ratio of 40 to $.0067 = $.27 PPS {Price Per Share}.

That's the BEAUTY of having a profitable company and income statement. You can make extremely accurate fundamental projections of the future price per share. And right now, starting tomorrow, the PPS needs to CORRECT to the fundamentals.

All the company needs to do now, to meet projections, is execute it's business plan.

Note: These calculations do not include, obviously, any new acquisitions. Which is what the CEO is concentrating on.