CJ,
I made a mistake. Sorry for the bad math. I missed the dot by one digit for the revenue in my post. Last two quarters revenue is around 0.24B, so if the revenue stay flat (as I expected, and I think most people will agree), yearly revenue will be 0.96B, plus 0.3B from the new unit, it'll be 1.26B at least. Figuring around 100M shares, per share sale will be $12.6. If there's a increase in revenue, the sale could be in the range of 1.3-1.7B, sale per share could be in the range of $13-17 as I mentioned.
I'm glad that I didn't miss the per share data by one digit, otherwise, my conclusion would be that this is a stock will price-to-sale ration of 0.1, and I would have jumped in too early. Thanks for pointing it out.
My point is, if the revenue could hold flat or slightly up in the next 2 quarter, $13-15 would be a good range to pick up. Price-to-sale is around 1, price-to-book is less than 1.7, IMHO, very close to the bottom. But I got to see the earning to make a decision. If you jump in now and are willing to wait, I don't see too much downside risk either.
Frank |
