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Pastimes : JAVC - Java Centrale

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To: Marcus Gasser who wrote (24)1/23/1997 9:27:00 PM
From: John Leach   of 279
 
Hi Marcus and all...oops on the date, I'll need to double check that one...could be the 14th...

I like to think of this stock as my pet stock...I've been it over a year, and the only reason it is down is due to "investor boredom" as I saw Jeff put it on another thread...I'm hoping I can find out some new info on this one this week...what they need is a PR firm to start pumping them up to increase the volume....I still think it is a steal at 5/8 because I think the minimum we will see is $2 once volume increases...and if they are profitable watch out...people are always looking for another Starbucks....

Here is a little hypothetical example of what may happen...suppose quarter ending 3/31/97 shows a profit of .05 to .07 cents per share...this would give them a go forward estimate of .20 - .35 per share for this coming FY...multiply by the PE of 20, and you are looking at $4 -$7 stock price...by June 1st (estimated announcement of fourth quarter earnings...this would probably be the latest, because if they are profitable they will want everyone to know sooner)

These numbers are just my opinions...which I feel are conservative...we should get a good read on current quarter earnings when 3rd quarter earnings are released in mid-February...good results here should move the stock to the $2 to $3 range...my own opinion

Obviously with the little volume right now, this is not a get rich next week type of stock, but I don't think waiting 90-100 days for 400% - 1000% gains is too much to ask...

I bought more today...this one just needs a little attention...

John Leach
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