What Can Shareholder's Expect From An Edig Home-Run and When?
posted on
Apr 12, 2016 05:19PM
Pick Your Assumptions:
Annual Revenue Based On Pre-Tax Earnings Ratio
5% $ 300M $ 400M $ 500M $ 600M
10% 150M 200M 250M 300M
15% 100M 153M 167M 200M
20% 75M 100M 125M 150M
Pre-Tax Earnings
$15M $20M $25M $30M
Earnings/ 294M
Share $.051 $.068 $.085 $.102
Earnings/Share Multiple: Trading Price
10X $.510 $.680 $.850 $1.020
15X .765 1.020 1.275 1.530
20X 1.020 1.360 1.700 2.040
25X 1.275 1.700 2.125 2.550
30X 1.530 2.040 2.550 3.060
If you owe 100M shares with Pre-Tax Earnings of $30M (20%) and Annual Rev, 0f $150M
with Earnings per share (294M) of $.102 trading at 30 Multiple the Trading Price under above assumptions would be $3.060, or your shares would be worth $306,000.
Something too digest. Let's hope for best over 2016.