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Bullboard - Stock Discussion Forum Seven Aces Limited - Ordinary Shares ACEXF

Seven Aces Ltd is a gaming company with a vision of building a diversified portfolio of gaming operations. The corporation looks to enhance shareholder value by growing organically and through acquisitions. Currently, the corporation is the route operator of skill-based gaming machines in the State of Georgia, United States of America.

GREY:ACEXF - Post Discussion

Seven Aces Limited - Ordinary Shares > Target $0.275 - $0.55
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Post by 1969Enigma on Jan 31, 2017 1:11am

Target $0.275 - $0.55

Assuming I am following along correctly there appears to be a potential for 11 million or so in revenue for 2017 from the numbers as we currently have them. The industry average multiple is 40 , however as we are a penny stock on the venture exchange a 5 or 10 times multiple is more appropriate.

So potential 11 million in revenue over 200 million shares, multiplied by the average earnings multiple of 5 or 10, we should be trading at $0.275 - $0.55.

The CEO of the company suggest between $0.35 - $0.40 which is the median price range of the spread. So the numbers jive with the CEO's forecast.

Low Target: $0.275 Median Target: $0.41 High Target: $0.55

Let's see how the market responds.

GLTA & DYODD

JamJam123 wrote: made a mistake
Total Revenue       1,546,812
Total Expense       3,692,497
Among expense biggest part is
 
Professional and advisory fees     2,415,922
 
General & administrative expenses for the three months ended November 30, 2016 increased compared to prior three month period. The increase is mainly attributable to the legal, consulting and acquisition costs relating to the LBI acquisition. Also the depreciation and amortization increased due to the property and equipment acquired through the Acquisition. General & administrative expense for the nine
 
So let’s be  conservative and take last q
Professional and advisory fees     for going forward  which was 1,50000
 
For one month LBI added 1.1 million on net income so for 3 month it will be 3.3 mil
SO expected income for next q  2.2 additional income -1.7 loss+(2.4 mil-1.5 mil)=1.5 mil
 
Add 2 new acquisition that has combine revenue 4.4 mil + 10% growth
 
And wait for a year to get refinancing done they will be rocking…..
Comment by Wonderwon on Jan 31, 2017 8:24am
How do you get a 5-10 multiple when Quantum just bought its stake at a 2.2 multiple of sales?
Comment by Acelove on Feb 06, 2017 10:58am
Selling a business wouldnt that change target prices?
Comment by lscfa on Feb 07, 2017 12:14pm
I see a fair value of $0.30. Q3 results included 40 days of LB results so LB annual revenues are 365/40* $1.514 mil = $13.82 mil Q3 net income for LB was $539,348 / 49% = $1,100,710 which is 72.7% of LB revenues The latest 2 acquisitions generate $4.4 million in annual revenue Forward annual sales = $13.82 mil * 51% + 4.4 mil = $11.44 mi l Operating ebitda @ 72.7% = $8.32 mil Assume QIC ...more  
Comment by Wonderwon on Feb 07, 2017 12:16pm
You forgot to include the costs of Southern Star Gaming in your analysis.  These are costs directly related to operating the gaming division in the US.
Comment by lscfa on Feb 07, 2017 12:19pm
I did not forget...I took total QIC costs and backed out nonrecurring advisory fees to get to $2 mil per year in expenses which include SSG
Comment by JamJam123 on Feb 07, 2017 12:35pm
this price is insane... very good post Lscfa... they will make ton of money going forward... specially with new acusition overhead cost would not change that muxh once they refinace in a cheaper rate in a year they will be even more profitable... wonderwon i see all you do is bash qic... good for you... market will wake up one day till than we have to take the pain 
Comment by lscfa on Feb 07, 2017 12:42pm
Lucky Bucks audited financials are on sedar: Lucky Bucks $US (audited) 2015 2014 Revenue 10,046,600 4,176,142       Depreciation 387,598 206,961 General and administrative 535,383 374,208 Interest expense 53,188  ...more  
Comment by Wonderwon on Feb 07, 2017 1:13pm
You can call it whatever you want,, unfortunately for you, the market agrees with me.  the market is never wrong
Comment by JamJam123 on Feb 07, 2017 1:25pm
market is always wrong... there was no taker of fgd in friday... was trading 41... today market cant have enough... most of the ppl loose money so that only few makes money... anon is playing big game here... we will be ok in the long run eventually
Comment by lscfa on Feb 07, 2017 1:27pm
....the market is wrong often...yesterday PYT got a takeover offer for 400% above the market price
Comment by Wonderwon on Feb 07, 2017 4:21pm
Really?  You are going to cite a $10mm takeover?  Percentages can be big when deals are so small.  The stock languished forever until a buyout.  Is that really the play here?  Sit under a dime and hope someday it will be bought out for 40 cents?  What an exciting story.  Everyone would obivously take a 4 bagger if it was guaranteed, but considering how junior ...more  
Comment by lscfa on Mar 20, 2017 11:05am
Repeated for emphasis.....
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