My estimate Good morning all,
I took out an old envelope and a pencil and did a quick calucation.
Using their most recent numbers and their stated goal of 2000 unique dealers doing 4 originations per month, I estimate
3.7x2000x4x12/(26x4+(79-26)x2)) = 1.7 billion per year in high margin revenues!
Using a fully diluted share count of 228 million and a price to sale of 5 (low for a software company), I get to 37 dollars.
Of course, anyone following the company closely will know they are beta testing two new important products that will further increase revenues significantly starting next year, and that all sorts of verticals are available to their approach (like recreational vehicles, boats, etc).
Please make your own conclusions, but after seeing the phenomenal growth for August (much higher than I had anticipated), I have decided to increase my position by 2/3 this morning at 1.27$.
Cheers,
Hen