Forum Topics M7T M7T M7T valuation

Pinned valuation:

Added 10 months ago
Justification

Assumed three scenarios ranging from growth 25% - 10% over next 5 years. Share Count increasing to 305.5m and achieving Net margins 20%. Discounted at 15%. Blended together I get a valuation of $0.8027

mikebrisy
Added 10 months ago

@Magneto - reasonable and in line with my own view. My concern is revenue growth coming in towards the lower end, and net margins taking longer to get to 20%. Hence, I am out.

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Magneto
Added 10 months ago

@mikebrisy just revisited M7T, even if they double there revenues over 5 years to $60m and achieve 20% net margins and a PE35 discounted back I got today share price of $0.70. A lot of cons come to mind for me, lack of inside ownership, not sure if it really has any pricing power compared to say PME. Never held the stock but always seem to be covered by the brokers hence thought I would revisit. Not on my watch list but maybe revisit in 12 months time.

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