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Technology Stocks : Advanced Engine Technologies (AENG)
AENG 0.00010000.0%Dec 12 9:30 AM EST

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To: LIQPLMBER who wrote (697)6/13/1998 2:28:00 AM
From: wonk   of 3383
 
LIQPLMBER:

It seems like it would be a good idea to try to market this engine first to a simple application like a lawnmower or weedeater or etc.

Ok, lets see how much money AENG will make. Lawn mower costs say $300 retail. Wholesale cost say $240. Cost of goods sold say $170. Of that the engine maybe 30%, lets call it $50. At a 5% royalty (really high), AENG makes gross royalty of $2.50. (Compare that to Sword's estimate of a $5 royalty for a complete car engine.)

Admittedly, you have to crawl before you can walk, but how many lawn mowers, weed eaters, etc. do you have to sell to justify the present stock price of AENG, the entire worldwide production - tomorrow?

ww
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