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Gold/Mining/Energy : Direct Focus Inc. (DFXI) -- Ignore unavailable to you. Want to Upgrade?


To: trilobyte who wrote (130)10/30/1997 11:43:00 PM
From: diddlysquatz  Read Replies (1) | Respond to of 768
 
Trilobyte,
I expect to see the company close this calender year earning at least $0.28. If we look at the amount they have increased marketing expenses we can make a correlation between this and the increase in sales/earnings. If they can get the same results using a large percentage of their cash hoards on marketing we can make an educated guess as to what they should earn next year. My estimates put it in the $0.50 to $0.55 range (may sound way too optimistic but so far they have been blowing away everyone's estimates). In my opinion the stock deserves at least a 20 PE ratio. My twelve month target is $10.00. You can bet I'll be buying on any weakness! I can't find a better risk/reward situation anywhere else.

Cheers,

Paul