RE:RE:Research Capital - CantechletterI think his revenue targets are middle of the road. However valuing NSCI at 1.5X revenue in 2025 is ridiculous. Show me any comparable company valued at anything close to that. If anything the current P/S is way too low and should expand, not contract.
THAT P/S MULTIPle is the kicker folks. In theoretical land they get to the $75M revenue mark by EOY 2023 and get a P/S of 12, more in line with a fast growth company in this space. That gives them a market cap of $900M CAD / 100M shares = $9 a share CAD.
P/S of 1.5 would be a kick in the teeth.