Vinnie, - you're welcome. Remember , the Return on Equity that the market perceives is after-tax ROE, and that BNGO has used their tax-loss carryforward to forego taxes since losses caused by Fla. shutdown. This can distort the past ROE with an upward bias. If the company can maintain a 30% ROE after full taxes and recent dilution going forward, we can all become rich. (IMO) It may be easier said than done, because in finance a 30% ROE over a 5-year period of time is really quite a feat. AOL's ROE is ~ 97%, and look how the market has capitalized that "past" performance, but at 48 X book value, and carrying a 33% debt load, I'll think I'll pass on AOL. JTO has stated that one of BNGO's first goals is to grow ROE at a 30% rate, and the company is certainly capable of doing it. The SC legislature could be the monkey-wrench in the whole equation. Bingo operations alone can do 30%, if that is the eventual direction the company decides to focus its sights and assets. Let's see,...How many Tickle-Me-Elmo dolls can we buy for $13,000,000?
MT |
