Thank you amigomike for starting this thread.
This company develops so fast that information is rapidly outdated.
At this moment the stock is building another leg up.
Lucky those who bought shares below $2 a year ago. Last September the stock went to the next level when it became clear that the company was going to become profitable, especially through the very successful body exhibitions.
The share price more than doubled and remained quite stable on this new level around $4.25.
The higher share price was only one of the requirements, now all satisfied, to be listed on the NASDAQ Small Cap list. Others are corporate governance, operational history, shareholders equity, revenues, market makers. Nothing left to do, so indeed it is a question of weeks, if not days, to hear the news: PXHB leaves the OTC where it did not belong anymore at least since last year.
This is not only a question of prestige and trust, but will directly influence the composition of the investors in this company. Until now PXHB has been rather unknown to Wallstreet and not been covered by analysts, typical for most OTC stocks. Last night Premier Exhibitions presented their business to an important group of financial analysts, but from the rapidly growing trading volume during the last weeks, accompanied by a significant increase of the share price, it becomes quite evident that several institutional buyers have already stepped in.
The company and its advisors are quite conservative regarding the outlook for the current and next FY (2007, 2008). They expect an EPS increase of about 400% for 2007 and 40% above that in 2008, but I hear there are reports from institutional investors which go much higher: 490% for 2007 and again 200% for 2008.
Considering only the most conservative outlook of EPS $0.40 for the current fiscal year (2007) and the peer groups forward P/E of 22, this would justify a share price of $8.80 right now.
But the General Entertainment Industry's P/E is 39.8, nearly twice as much. So there is much room left on the upside.
For those who are new to this stock, I would recommend to visit the website that amigomike has mentioned (http://www.premier-exhibitions-investors.org/index.htm) |
