TSXV:JPWR.H - Post by User
Post by
stockykindaguyon Mar 02, 2018 9:39am
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Post# 27650632
renewable energy comps
renewable energy compsso in doing some research, renewable energy companies are trading ar 13-14 times ebitda. without the bitcoin operation, their energy business will do 18 million in revenue and around 11 million in ebitda. at 13 times ebitda, this company should be at 66 cents a share based on the fully diluted number.
so pretty much this company is trading at 40%-50% discount to its peers just based on the energy without the bitcoin part of the equation.
i think the bitcoin part of the equation will be lower tha anticipated with all the new miners and increased hashing needed to mine one coin. but i still think it can add 10 - 20 million in revenue this year. depending on bitcoin price.
best case scenario is that we get a good run on the bitcoin and generate solid free cash flow in the 10-15 million dollar range and have those warrants convert for 32 million dollars. and then they go out and purchase another 45-50mw facility or more.
we'd then have around 27-30 million in recurring revenue just on the renewable power in green certs for a solid ten years from that.