To compare, first adjust share price for shares outstanding. Yahoo has 3x as many, thus Goog would trade at $280. That moves its EPS down to $11 per share from $33 per share. IF Yahoo was equal to only 1/4 of Google (and the EPS suggests it should be more like 30%), then Yahoo could be trading at $280 x 30% or $84 per share. The moment Marissa shows revenue growth even without the profits catching up initially, Yahoo will take off. It is a matter of time and Yahoo will make a very significant run. Those catching this ride are buying their tickets today.
Yahoo is 1/10 of Google. This management team will close that gap . . . and, at least, in the short term, the expectation that the gap WILL close will make many bet now while the betting is cheap. On speculation alone the market cap of Yahoo will soon be 1/5 of Google's . . . that puts the stock in the low $40's . . . . the unknown that Alibaba offers will aid in the stock appreciation well before Alibaba does IPO. Way too many favorable speculative factors to not think this gap will narrow and soon. Yahoo will be a bigger player in the short term . . . how soon before the completion of the stock buy back is announced?
Sentiment: Strong Buy
It looks like Apple and Google will move market cap dollars to Yahoo. The inevitable volume shift coupled with fewer shares for sale with the buyback, and you sense a movement in Yahoo that has been pent up for a long time. Yahoo market cap can easily be $80B.
Sentiment: Strong Buy
As one observes the relationship with Google, the mkt. cap potential and the share adjusted comparison . . and Ms. Mayer and company . . . it is very difficult to not see Yahoo in the $70 range over the next 12 months. A huge move, yes, look at AAPL over the past year . . . just know the potential is there and it begins here . . . play not, gain not.
Sentiment: Strong Buy
By tax day you will be looking@ $6.75+ with upgrades and company news occurring.
All must note 70% of sales for 2010 have ALREADY been made!!
The upgrades, after this last frenzy of accumulation ends, will flow fast and furious.
A PE of 15 and earnings of $.75 for the year indicate a share price of $10 . . .
Watch share price control move accordingly.
It has been announced here. Invest wisely.
Yea, what a misleading site. GSI has announced earnings will be released prior to market open on MARCH 16.
There is no release as of yet.
More accumulation games underway.
Hmmmm. . . . very interesting. It seems GSI may be giving all one last week to take a position before the real earnings story is made available to all.
There is much accumulation occurring here.
If earnings are on track for 2010 around $1 per share and P/E ratios like CNAM's 45 (china armco metals) abound, you do the math.
A P/E of 45 with earnings of $1 per share, translates into a price per share of some $45. NOW, that is a bit much for GSI to achieve in the short term, BUT $5 is an incredibly cheap price for a stock with the projected earnings that GSI has indicated.
One could anticipate paying a double digit price by the end of April. This opportunity will not last long . . .
Trades at $9.75 with a P/E of 42. FORTY TWO !!
GSI earnings projections in 2010 of $1 per share would give GSI a PE of 5 right now.
A PE of 10 is considered exceptional. Many companies trading in 20+ PE range.
This puts GSI's price tag between $10, at the very low end, and $20, at the upper end with $1 per share earnings. Even the lower forecast of $.70 earnings per share would suggest a stock price pushing $10 based on available PE comparisons.
IN many cases, the price would be higher. Hard to believe this stock is not in the $15 range today.
It shall be very interesting watching the volume moves this week after earnings . . .
LOPE - Grand Canyon Education.
Just for grins and comparison . . . with a current price of $23, LOPE has similar float as GSI.
It is interesting to see what investors will pay for earnings. LOPE has a P/E of 39 !!
GSI, with the expected earnings and earnings outlook for 2010, is so much more than a $5 stock !!!
In the short run, this stock looks poised to move up dramatically. Believe this if nothing else:
Investors WILL NOT allow GSI with potential earnings of between $.70 and $1 to remain with a $5 price tag for very long.
Earnings are out this week, General Steel will kickstart many portfolios.
. . . a $5 stock . . . what a joke and soon to be something of the past. Wait till the end of the month and see what it cost to buy ?!?!?!?!?!!!!!!
Only a couple of weeks until earnings.
Indications are for a $1 per share for 2010.
Industry PE's indicate 15 is a good range. You add the growth in China and the accumulation process that has been occurring with GSI, it is hard to not expect a large move after earnings are announced.
Naysayers, for the most part, represent hedge fund buyers. Keep the price down now, accumulate into earnings and then anything goes . . . that is their game plan and they are playing it aggressively right now.
This discount buying opportunity is nearly gone.
Check out Baidu's forward PE of 53.
Again, two very different companies . . . but fundamentally some signficant similarities . . small float, china companies, profitability scenarios of signficance.
GSI is just entering its earnings phase . . . small floats can disappear very quickly.
Assume the GSI picture suggests a PE in the 20-25 range becomes the target for a few large institutional holders. They could be in and out this year with a great return!!
Movement should occur soon and volume will have some very significant days!!!
Oppty knocks and how many listen?
Both have floats of some 26M.
GSI is setting up to have dramatically improved revenue and earnings over last year.
Baidu trading in the $460 range.
GSI trading in the $5 range.
There is a huge opportunity again with a china company and with much greater upside.
GSI should quickly move to $10-$15 range and then a move later this year into the $40+ range could make GSI one of the better performers in 2010.
The entry price, the float and the forecast are creating the perfect storm.
BIDU holders can appreciate what a small float can mean to the stock price.
GSI has 26.4 million shares in the float
AND it has a very favorable revenue/profitability forecast in 2010.
Look at another company in China with 26.2 million shares in its float and with an established growth record in revenue and profitability . . . Baidu.
Baidu began its run from a $45 price.
A larger company with great growth. But GSI's story is a very significant story. And with only 26 million shares in its float . . . very dramatic things can happen here.
There are very few Baidu's around! No doubt.
However, there are very few GSI's available either at this very low price and that have such a robust forecast for the next 12 months.
A very interesting horizon is looming . .
Take a look at US steel competitor industry and its industry PE . .
Take a look at GSI competitors and their industry PE . . .
One is 18.16 and the other 27.50.
With several projections of earnings in the $1 per share range for 2010 ( I believe that will be too low), and using a PE of just 15 . . . well that simply means the price per share should be in the $15 range.
When will this move happen . . . wait until earnings. Earnings will confirm the value and the PE ration will start to move toward the competitive norm. Along with it the share price will move quickly from $5 to $10 . . . even then the PE will only be 10 !!!!
The smart players have been accumulating and the run will begin very soon.
GSI is quite cheap, very cheap today.
In August of 2008 this stock was at $15 a share.
With earnings on a path of great improvement (and I do not say that lightly) and an acquisition in development and China influencing capital development in western China, there are amazing things to come soon.
Earnings are predicted for next year at around $1 per share even with dilution. Institutional players are ready to load up with GSI.
A moderate PE of 15 with earnings expectations for next year indicates this stock could move into $15 range very easily next year.
It is time to get on board as soon as possible.
By the end of January I would bet on a share price of $7-$8.
Such gifts come only so often.
And GSI is preparing to have 70% of its sales revenue budgeted for 2010 all sewn up during this weeks Distributor Conference that GSI is hosting . . .
"Our goal for the event is to lock-in around 70% of our 2010 total sales volume with distributors while the rest of the sales will be made by direct contracts throughout the year," said General Steel's Chairman and Chief Executive Officer Henry Yu. "Based upon our preliminary discussions with distributors, we are confident that we will be able to achieve this goal as we continue to experience strong demand for our products in our addressable markets, in particular, Shaanxi and Sichuan provinces which are benefiting from China's intensive stimulus-related spending on infrastructure and earthquake rebuilding projects."
Amazing, two weeks before the new year they will have already booked 70% of their revenue . . . yet there are many other opportunities still arising.
This stock should be in double digits very soon . . . very, very soon.
There is no doubt that republicans lead the country into the financial collapse.
It is rather quite simple. They were in charge and it occurred on their watch. No excuses.
Bush admitted something like 'those wall street boys are playing with too many special financial instruments'.
Well why didn't his administration keep on top of this and snuff out the unsafe? Why, because his wealthy friends enjoyed playing the game and he turned a blind eye.
He spent out of control. He turned his back on wall street and he turned his back on his country.
He will be judged as a member of the worst presidents' club.
Obama is on the right path. One cannot keep paying $150 for a bag of saline.
Jobs, in general, are lost as senior management feel they must suck every dollar of profit out of their business. Overcompensation in the name of greed and at the expense of American jobs is the carryover sentiment of republican mismanagement. There has to be ways of protecting Americans without insurance. Certainly Congress makes sure they get theirs.
Open competition is needed across state lines for all insurance companies.
President Obama is the man.
He realizes a huge problem exists and he does not promote the fear mongering the radio talking heads love to do. Hearing limbaugh all I hear is a rich fat man scared shitless that with all his money he may not be able to buy all the healthcare he may want.
Wake up and smell the wonderful aroma of progress!
American capitalism must be ever present, but american greed must find a way to tone itself down.
take a look at the chart and moving averages . . then
take a look at the historical prices . . then
think about the price UYG will be at as the recession continues to dissipate and as positive news is generated.
It is moving in the direction of being near $10 by the end of the year.
Laugh at the current situation if you will,
BUT THINK DECEMBER VALUATION.
Then laugh all you want.
Shortly after the Medarex acquisition is completed in late August, the internal positioning and movement will occur.
The premier immunotherapy company will emerge in all of biotech. BMY will spin their pipeline as one of the deepest and most committed to immunotherapy.
Ipilimumab will substantiate this and BMY shares will be tradingin the $30's by year end.
The buying time is now. Please mark this post as time will outline this prophecy!
Best of luck !!!!