Multiples of Upside Upon Recognition of Value "While there are no perfect public comparable companies to Kits Eyecare, we believe the broader eye wear retail peer set is an appropriate barometer, with the group trading at an average of 3.8 times 2022 sales.
In our view, Kits Eyecare should trade at a premium to these peers, given its earlier stage in the growth cycle, higher expected revenue growth, healthy balance sheet, and strong management team."
Kits is on track for $95 million in Revenue this year, with rapidly increasing recurring sales which are higher margin.
At 3.8 times 2022 revenue of $95 million, fair peer based market cap would be about $350 million which equates to about $11+ dollars per share.
$19 million in cash and now cash flow positive with margins creeping up to very robust levels.
A great disruptive model as well.
In fact, buying your eyeglasses and contacts online is easy , cheaper and very convenient, as I found out.
I am now a proud customer..