Verde Agritech Ltd T.NPK

2022 and 2023 Revenue Guidance

[15Stanmore]

Hello fellow Verde shareholders,

Happy New Year to all, especially with the release today of the 2022 and 2023 guidance - these are the numbers that Verde shareholders have been waiting and praying for.

2022 Annual production volume:   700,000 tonnes

2023 Annual production volume   1,400,000 tones

2022 Revenues           $72,263,000

2022 EPS                    $0.50 

While an EPS figure is not provided for 2023, the doubling in volume should (all other things being equal) produce a doubling in EPS - so let's say $1 per share in 2023.

Based on this information, I have updated my forecast models and am now happy to share my conviction that we will see $5 per share by December 31, 2022. If the Company is successful in generating a $1 earnings per share in 2023, then I believe we would be well on our way to $10 per share by the end of 2023, as this would still only be a valuation based on a P/E ratio of 10.

Clearly I am very happy with the forecasts shared today, and pleased my decision to continue to accumulate Verde stock over the last 2 years is producing the desired returns.

Good luck to all.

Cheers,

S

[Abruzz0]

Impressive Guidance, I do agree. Stan's projection is almost as impressive:  $5 per share by December 31, 2022. It will be glorious if achieved! 

[Sage4Puck]

The earnings per share is pretty high indeed Therefore a 10 x EPS is a consersavative projecction IMO. For a growth stock like NPK, a 15 x EPS would not be unexpected.  

[sparkdog]

We will see $5 long before year end. 15x EPS certainly expected. Permitting will not be an issue as Verde has the various levels of governments blessings. Big issue will be product distibrution and delivery. Will be interesting to see what the company decides on this very important part of the business. Might we see a fleet of leased tractors and trailers with customization to handle the various

[TechOne]

For my money, I take this forecast at face value..  Demand aside, it does rely on timely mining permits going forward so let's see.. Plant 2 build out.. Perhaps, a new product to come etc.  If it comes to pass that they can meet $ 1 earning in couple of years, the share price will be well north of $ 10 + Any case, NPK.TO is only couple of my solid greens today during Nasdaq mayhem

[Stupida]

I agree, management's track record so far is one of conservatism.  I had predicted $4-5 per share before the new guidance which after reading makes me extremely bullish.  I suspect we over $4 this week!! Sometime during 2022 i am predicting between 8-$10 a share as management meets guidance.