RE:RE:Ready to move higher yet????backabock wrote: $20 million in sales makes them a viable company and places their value near a $1 per share. Their business is IP based and fleeting. We cannot assume their IP will have value 10 years from now. They need to prove they are capable of continuing innovations that will be profitable. At the moment, regardless of your perspective on the company, it is not something that is possible to for them to demonstrate because they have insufficient history.
At 20 million/yr in sales for the lifetime of patents, we are still only talking about a range of 5 to 10 cents per share net earnings for maybe 15 years. They need to demonstrate they can achieve sales of $40MM/yr to hit the $2 mark. They also need to demonstrate new patentable IP periodically to go even higher.
Unfortunately, the lack of history on this stock makes for a lot of speculation. Please moderate your expectations!
PTK market cap = $273 million
PTK revenue = $0
SEV market cap = $59 million
SEV revenue = something greater than $0
So don't say that SEV needs to hit this revenue figure or that revenue figure before it hits a certain stock price. No one knows. SEV won't trade on financial performance for the next couple of years. Its value will depend solely on big investors liking the story and products. Without a doubt, SEV deserves to be more than 20-25% of PTK's market cap. So either PTK's gotta come way down or SEV has to go way up. With the right news release, one day you could wake up and it opens at $4. Not investing in this stock because you think they don't have that much revenue right now is silly.
Investing in SEV you get a nice bonus of speculating on future upside while the company is doing alright financially right now too. Usually you have to have a trade off between the two. For something like PTK, you know it will have to finance again maybe in 18 months or less. SEV is at the point where it may never have to finance again, and if it does it'll be small because cash flow positivity is coming soon enough.