Ann: Appendix 4C - quarterly, page-18

haha, good luck to them.

I have just been looking at the numbers and trying to find a somewhat reasonable target price.

The last quarter saw positive cash flow of $520K. This would have been 1.4 million if it wasn't for the one off acquisition costs of $402K and staff leave entitlements of $492K (perhaps there will be even more staff leaving this current quarter because the start of the year traditionally is the time a lot of people change jobs).

But let's just say moving forward the company at least maintains positive cash flow of 1.4 million per quarter that would equate to $5.6 million per year.

Total ordinary shares on issue is 51 million. (There are a further 17 million in performance rights and options but I am not including that here).

Therefore on a P/E of 12, it is reasonable to see the share price at about $1.31

When comparing a comparable company, e.g. Superloop which is sitting on a P/E of 37, then 5GN would be at a share price of $4.06. - that would be way over valued IMO.

Anyway, what are your thoughts? What is a reasonable price target for 5GN?