More Likely to Hit a Dollar Thirty than the 0 Thirties…Had a good laugh at the posts the last couple days as the stock fell. The stock just retraced half its most recent move and we draw a shorty out saying its going back to the 0.30s.
Calling for a stock to drop to a level that is half the price that the old management offered to take the company private just 4 months ago after another posted record quarter with guidance affirmed going forward is just a hopeless bash.
At a 0.35 SP would be calling for the stock to trade down to a level where it would yield over 11% when revenue grew YoY 9.5% and Gross Profit grew 6.9% trading at multiple of 3x 2016 numbers.
In the 1.3 SP scenario would be calling for a yield of 3% trading on a 12x multiple on 2016 numbers with a PEG ratio of 0.55x for 2017. (Not even including share reduction from NCIB)
Good Luck with your bear case.