Pacifichealth Laboratories Inc. Message Board

I think that the hiring of a national sales force may reduce bottom line earnings in the near term, but supports a growth plan.....

Company is undervalued, but may stay there until Marketing Plan gains traction.

(Excludes G&A Expense, which is consistently in the 3 - 4M range)

(Some Decimal Rounding)

Fair Value for the Company: 5.16M

Factored to Shares / EV Factor: .34

Due to the implementation of the sales and marketing plan and product awareness: I am looking for a price target of:

.0715_136, with a Price to EV: .21

Theoretical Multi Year upside potential: 378.82%

Some Notes:

PacificHealth Laboratories (hereinafter referred to as the “Company”, “us”, or “we”) is a leading nutrition company.
We focus on the development, marketing and selling of patented premium nutrition tools that enable our consumers to enhance their health and improve their performance.

Our principal area of focus is exercise performance and recovery, including optimal weight management.
Our products can be marketed without prior Food and Drug Administration (“FDA”) approval under current regulatory guidelines.

We are evolving into a more consumer oriented, brand driven company that derives value from its own brands based on our science-based nutrition technology.

We have previously been a pioneer in the development of patented nutritional products that activate biochemical pathways to enhance muscle endurance and additionally the specific peptides involved in appetite regulation.

Today, we employ multiple strategies for the commercialization of our technologies, but we are placing increasing emphasis on the creation of products and product awareness.

We are also decreasing our emphasis on further research and development.

For the quarter ended September 30, 2009 as shown below, sales and marketing expenses are up $224,876, or 65%, from the same period in 2008.

A significant portion of this increase is related to the creation of a new national sales representation organization.

Buy on a dip: (.0435)