RE: RE: SOME QUICK HEM NUMBERS I don't know if P/E of 15x is reasonable. There has been too much volatility. I think something around 10x is more reasonable.
That said, there is a lot of risk in their plan moving forward. They need to sell a money loosing business to capitalize. Otherwise, they will be forced to issue new shares which further dilutes EPS.
Conservatively, if they are able to show some progress and some good pro forma numbers throughout Q4 and Q1 next year, I think $1.00 is reasonable to see come April/May.
However, even so, I think if they can sell the entire company for $1.00 today they should do it! Personally I would take it, along with many other shareholders I'm guessing. I'd rather have $1.00 today than the potential of $2.00 in a year from now.
FWIW, Paradigm isn't drinking the kool-aid:
Hemisphere GPS Inc : Paradigm Capital cuts target price to C$0.60 from C$0.70