| Here's the bottom line, Floyd. Matrixx's revenues will be up more than 80% in 2003 from 2002 following nearly 50% increases in 2001 and 2002. According to the company's recently revised upwards guidance, earnings in 2003 will be in a range of 33 to 38 cents per share, up about 150% from 2002 (14 cents per share). Earnings in 2004 should be up another 100% minimum as the company continues to increase market share, margins increase due to lower costs of the newly designed swab and supplier, and new products outside the cough and cold market are released this year (analgesic and oral care are the top candidates). You are fighting a losing battle shorting this stock at this stage in the company's growth. The dip the last few days is a huge buying opportunity. The only cause for it is the anosmia BS, and that won't have any staying power because the company's fundamentals justify a much higher stock price, and the anosmia BS will blow over no harm/no foul. At 14, MTXX is trading at about 40 times trailing earnings and about 25 times this year's expectations. That is very cheap for a company that is growing earnings 100% per year. It is trading at 1/4 of it's growth rate. Compare this to VSH, which I am short, which is trading at 6 times its growth rate, or more importantly compare it to other health care companies, which are trading at about twice their growth rate. The stock is once again a resounding buy based on valuation. No amount of BS that you spam on the Internet can change that. |
