Cematrix Corporation V.CVX

New record highs coming!, maybe

[gasoholic]

Looking at the longterm trend there were 3 times when the stock went over 55 and one period where it went over 80. It went over 80 in early 2021 when there was optimism of  the US government passing bills to pump up the economy with infrastructure subsidies. I think were going over a dollar this year supported by increasing revenue and a strong backlog. Unless they start blowing up the world of course.

[Tan4646]

from what I gather it could see a 35 to 40 % increase in total revenue for 2023, SG&A costs will not rise by nearky that so I don't thnk a 5m net income would be unreasonable.   I still think a share price of 60 cents by summer is quite reasonable if PE is simliar to other construction comapnies...

[kingscorpion]

Yes Tan well.said.because if I am not mistaken The CEO said they will be profitable by year end what does that mean it means that they will wipe out all their losses( small mind you) for the past 3 quarters and be profitable by year end. So you ask what does this mean oh KING It means the loses up until end of Q3 is .03c So to be profitable they have to make at least .04c which means .04c x 135mil

[tony08]

I hope your predictions for Q4 are accurate King....I remembered Jeff quoting the amount of revenue at which they break even and start making more profits. I went back to watch the webcast and it was at the 43rd minute that he mentioned it: They must make $27M to $30M in revenue to break even.   After the first nine months of 2023, they already have $33.7M in revenue and $2.1M in EBITDA

[kingscorpion]

Good question Tony if they make that much in Q4. In the $15 to $18 mil zone then take the wage cost of $7.5 mil That leaves $7.5 mil if $15 mil for Q4 revenue or $11.5 mil if $18 mil With margins expected to improve further in Q4 the net earnings should be higher but I ll leave it here.  

[tony08]

You said it King ...... This is precisely the point I want to make......and to say it simply: With the margins that should normally improve in Q4, once the "breaking even" point is reached, those few more $ M should produce much more net profits.  

[Bubbajohny50]

They did a new issue which stopped the upward movement of the stock.  Then Covid put an end to it.