A Point To Be Made Here!there were people who thought nxo was not a viable business and would not be far off of calling it a scam--the word was garbage. Well, the company during the time of amalgamating fell all the way down to $1.01 or thereabout and had a few news releases the last of which is lighting fire under it! But here's the thing, nxo after the amalgamation from my recollection is fully diluted at 129 million and pat 120 million. The shares are trading sort of close in value but this keeps getting hammered down! What's wrong with this picture? nxo doesn't have anything in the pipelines as of yet but pat does! So i find it really hard to believe that we are stuck below $1.30!!! nxo has breached it today. Two companies more or less equal in terms of fully diluted both of which are flush with cash yet one has product that is out in the market place and the other doesn't. Now don't get me wrong i am overjoyed with nxo trading higher as i have a good amounts there and have been taking a hit--close to 60% but that is going down thankfully due to the last news release which oh yeah is signaling fairly strongly commercial product coming and over here had been mostly up until people kept hammaring this down wiping out those gains.
In any case, the point that is being made here is this share value is supposed to reflect future potential and if that is the case and as i had stated before i do not look at the small amounts of revenue that we will having moving into the first half of the coming year but more so about a viable number such as 2,000 units/a month production and if not more as when the company ramps up. So while one can reasonably argue that we are trading above fair value based on what i was calculating and i would say that is correct one should not deny the future potential as a consideration so yes, it is very hard to value companies that don't fully have booked revenues.
Regardless, this is still in my eyes despite the 120 million o/s undervalued--just compare it to nxo and can we reasonably conclude that it should not trade at least equal to that if not more especially when taking into factor we do have product out at this time nxo still has to get there!!! But be as it may this still has a very good solid longer term growth and an excellent company as is nxo--couldn't be happier with the uptick there but still not too thrilled about all the hammering this has unjustly suffered. Should have been trading above $2 for the longest of time but we will get there! Still strongly stating $2 plus up to including year's end.
good luck all.