STLW should ultimately command a PE in line with the comp:
NEWP PE of 300
SDLI PE of 500
ONIS PE of infinity (not even profitable, less revenues than STLW, market cap of $12 billion!!)
PE of 100, give me a break!
A small growth stock in the optical space should have a PE of between 300 and 500, leading to a target price, using your model, of between $33 to $55, and that does NOT include the likely earnings acceleration.
d merging with CUBE. Merger cost money so earnings were not what Wallstreet wanted. Stock is down now, but co. has a LOW PE (23) and a price of $22.50 This company is a sure double within a few months. Just watch..........
these levels. I agree with chacha's logic. In the short-term STLW will be a bit volatile. This is a good situation for arbitrage. I feel both STLW and METHA will go up.The discount at which METHA is trading will decrease because of arbitrage. This is a good time to accumulate METHA.