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Biotech / Medical : GUMM - Eliminate the Common Cold

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To: DanZ who wrote (2108)1/30/2000 12:22:00 PM
From: sun  Read Replies (3) of 5582
 
The fundamentals support a much higher stock price, and GUMM is just beginning to get the respect that it has deserved for many months.

Absolutely!!!

GumSlinger in the Yahoo message board calculated the worth of Zicam in the world market.

messages.yahoo.com

At a 40 PE 1% penetration 0f the world market justifies a stock price of $432 per share....(edit)....
Penetration------Stock Price.
....1%___________$432
....2%___________$864 ...


Using his assumption (round-up numbers), 10 millions shares outstanding, 6 billions in world population, the profit of $1.80 per bottle from only Zicam sales with more conservative numbers for a P/E ratio of 30 and one-tenth of 1% penetration to the world market, yields $32.40 per share (6 billions *0.001*1.80*30 / 10 millions).

I think the one-tenth of 1% penetration would be just beginning and GUMM's price is trying to catch it up at last.

Another note: 4 more people in my unit at work became GUMM Longs. What is surprising to me is that they never had a brokerage account and traded stocks before.

Regards,
sun.
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