TSXV:MRS.H - Post by User
Comment by
Investorpigson Aug 11, 2018 3:02am
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Post# 28444090
RE:Fair Mkt Value at this moment: $ 3.44 per share
RE:Fair Mkt Value at this moment: $ 3.44 per sharechoices999 wrote: I want to CONGRATULATE all longs whom have had the guts to stick it out with Schwartz and for trusting him. I have been in September 2017, have not sold, and loaded up a lot more once I saw Terry Nixon with 3 million shares. That was my hint that something material was going on.
The next decision you have to make is to establish what is the fair market value of MRS given the recent market developments. The Unifire deal has changed the dynamics of MRS and will grow it even into a bigger MONSTER than it already was.
I will simply project a fair market value according to the information we know of:
- we can safely assume that Federal Resources is the unnamed distributor.
- we can safely assume that the USA Miltary is the buyer of Flex9Armor
- we can safely assume that this contract is $ 800 milllion USD over 10 years at a minimum
- we can safely assume that Unifire has $ 180 million in shared contracts in 2018.
- we can safely assume that Unifire will have $ 20 million in credit line min. to bid on contracts.
- we can safely assume that Unifire merger will bring in $ 100 million within 15 months
- we can safely assume that Federal Resources will bring in $ 100 million within one year period
Fair Market Value:
- I am going to assume that PP is done at 75 cents (20 million shares) and 26 million to Unifire so total shares in circulation should be: 203 million shares.
- I am also going to assume that both Unifire and Federal Resources will bring in what they are projecting to do so $ 100 million each, total sales $ 200 million.
- I will put ZERO for the $ 180 million contracts that Unifire does have now, I will put ZERO for any other license deals without other countries (U.K., Sweden, Canada, Ukriane, Tunsia...), I will put ZERO for the 900 dealers, I will put ZERO for the private license, I will put ZERO for any other products sold by MRS and UNIFIRE, I will ZERO for any Amber sales overseas, etc...
In essence I am only calculating what we know, $ 100 million Unifire and $ 100 million Federal Resources.
Now you should know that the market values a stock on future sales and not present sales, so it will not wait until we hit $ 200 million in sales, it will value the company as if $ 200 million sales are being made.
So what is a proper multiple that MRS stock should trade to sales, is it 3 times, 4 times, 5 times, etc....
Lets go with 3.5 times.
So $ 200 million * 3.5 times = $ 700 million
Then $ 700 million / 203 million shares = $ 3.44 per share.
That is the fair market value if we consider nothing else.
Of course MRS has alot more in the pipeline so my $ 7 per share targe is REASONABLE.
So what are you going to do knowing this,
Are you going to sell and then watch it ramp up, higher, higher, higher, and live with regret....
Tough decisions,
My personal opinion,
Actually we cant "safely assume" any of those assumptions so this whole post is garbage. The only thing we can "safely assume" is the company will be putting out more (accurate) news shortly. The rest is just your wishful thinking and WAY too much time on your hands... shall we go through your posts and repost all your other assumptions we have been "safe to assume" since Christmas haha what a joke