PPS= 20 X PE = 20 ($0.09 x4) = $7.20 That is minimum. Since the growth is at exponential scale the
PE should be about 30 which puts the pps at $10.80. But since it is a very low floater, it MAY get a PE of 40 which will take the pps to $14.40. I am betting at hitting apps of $7 soon in less than 2 weeks. So hold your shares or cry later.
I am long and strong but I hate phony pumpers just as I hate phony bashers...The EPS did not reflect the purchase by Nistek with brings the float to a hair over 10 mill shares...meaning that the eps is just below 6 cents. Even going off 4 quarters of 6 cents that EPS is .24 cents. At a PE of 20 the share price would be $4.80. Over 4 dollars from a 1.50 in three days is alot to ask without profit taking...that's why it came down along with daytrader selling. I do expect the stock to be 4-5 dollars in the next 3-6 months, even with a market correction.
The great thing about the stock is that it is growing and could be the dominant PCB manufacturer in Israel with Nistek's help. Is this the next SILC, I do not think so but it is a great place to put my money for the next few quarters and not loose any sleep over it.
Well, this company has entered a high growth rate period since last quarter with the financial help gained by the deal with the merger, with that said, it's fair to use PE 25, instead of 20. Then the expected pps=$0.06x4x25=$6 That makes $3.19 way undervalued.