I no longer have a clue on how to price this stock. How do you sort out...
1) restating last qtrs earnings 2) this qtrs dissappointing earnings 3) 37M windfall 4) and cross licensing with Ariba
The last part is probably more difficult to figure.
"As part of the agreement, ePlus has also obtained a cross-license to all Ariba patents, patent applications and foreign patent counterparts presently owned by Ariba, and any acquired by Ariba for three years after the settlement date."
1) restating last qtrs earnings 2) this qtrs dissappointing earnings 3) 37M windfall 4) and cross licensing with Ariba>>>
1) Discourging, but not an accounting scandal. 2) Plus is earning only 1% on sales. They need to fix this if the stock price is ever going to go much above book value. 3) Figuring a 39% tax on the windfall, it adds about $23 in after tax income, or $2.52 per share. It's always nice to have cash if you have a good use for it. 4) Hard to put a value on it.