9342-8530 Quebec Inc DGCRF

RE: Payments

[SurfForWealth]

Further DD shows the fully diluted share count is actually only about 29.3M for a MC of $74.66M. The dilutive effect of options of 1.789M with an average exercise price of $2.21 for an effect of 250K shares on top of the 29.05M shares outstanding. The dilutive effect of options is much less than the average small cap company. The balance sheet shows no debt & I would estimate about $8M in cash & cash equivalents factoring in the Q4 expenses, interest income & the $4M payment from November. They have a modest expense base & the current product revenue is growing quickly. FDA approval should be easier than most biotech products given that the product is not used within the body & that the test is non-invasive & can be used in addition to existing testing methods while further data is accumulated. Given the forward P/E of 17.5, that I calculated in my previous message, I think one could argue that a case could be made for the value of the stock on a current basis let alone the forward potential of the business. This has the effect of making the stock less risky than most might think. The stock therefore offers a great opportunity for wealth building potential with moderate risk. Comments welcome, Cheers!!!