I am not sure I follow the numbers. You wrote: 300,000 subscribers generate 10m in revenues.
JCGR is going to charge $21.95 a month (same as AOL), & return $1 to the community. So they generate $20.95 per customer, per month. I have never been into what ifs, but what the heck. Just 100,000 customers generates over $25m annually. Allowing for a small 10% margin, that is over $2.5m annually. With 18m shares O/S, that is an EPS of about .14. Use an PE of 20 and you can see what this one is worth in a hurry. ($2.80 per share)
That said, it is only so much conjecture and hogwash, cause as you said there are too many variables that can make everything go out the window pricewise. As I see it these variables can only make it go up, not down. Can they get 100K customers? Can they get 500K? Who knows, lets see what kind of marketing program they come up with.
Of course that does not take into account the revenue from the sales of software, clothing etc. |
