RE:Needing clarification!Grinder57 wrote: I have watched and rewatched Tony Stelligas 10 minute presentation at the CIX Public Day this past December and have been trying to form a more concrete picture of future and current sales opportunities for the company based on specific comments that were made!
What I need help understanding is from about the 6:20 mark of the video he speaks specifically about the VR/AR segment that"we are squarely in the cross hair of!"
The comment I would like help dissecting is when he states there can be as many as 5 chips provided by Spectra in these Units and with a projection rate of 5 million Units (market analysts projections) to be sold in 2016!
"With an ASP (average selling price) of $4 per unit , that a $20 million going to $60 million concern" going forward!
To me this means the total average revenue generated by the company will be $4, not $4 per chip as I have been reading on his board! I don't have a technology back ground, but I believe these chips can be sold in volume for less than $1 per each?
The other item I am not sure of is if they provide the connectivity cable with one or 2 chips imbedded, then I would guess they are providing other types of chips for the HMD's as well! GREAT!
Not sure if I am right here and looking to draw more information from others who know and understand more than I do here!
So I if we cut analysts expectations in half to 3 million VR unit sales in 2016 with ASP OF $4, that's about $12 million in sales @ 62% gross profit of over $7million before operating expenses!
I personally like to under promise and over deliver and hope the company is wildly successful both over the short term and long term, as of this moment I am sitting on about 130k shares at higher levels than today! The company appears to have a tremendous amount of value in their technology, so I am not worried about the stock price as it trades today!
GLTA
Hi Grinder
If it eases your mind any, I believe that in the same video Tony states that VR/AR is a 20 million to 60 million dollar opportunity for SEV.
This statement would agrees more with the $4 per Chip estimate.
Good luck to you
RB