hi stratnew
Just projecting into the future, looks like $100mil revenue pa and $10mill gross profit. Like we figured months ago. They have about 1billion shares so thats an EBIT of 1c . valuation should be >10c share price.
Except GOE market has no liquidity- small market cap of $25mill.- so if u buy a lot-its difficult to sell.
Compare this to LPE which has market cap of 70Mill-80Mill.
Hot Copper traders are ramping LPE now and there are plenty of posts about LPE- yet GOE has better business profile and easily outstrips LPE electricity sales-plus has gas sales.
GOE. like LPE could get to 1/20 of the electricity market, as there are only 20 retailers.= but that may change- i dont know. GOE real growth in contracts, over the last few months, is 10 times faster than LPE.
LPE has the better marketing to investors- the company presentations are very good.-immediately investor/traders like the picture-yet GOE has far better big picture.
So is why investors/traders put money into LPE shares, and GOE does not attract shareholders for some reason- they have not done a "presentation"- there is no market depth. No liquidity-So day traders wont touch it. Short term traders wont touch it. Unless there is other reason I don't know.
LPE has 44gw of electricity contracts now and market caps is $70mill
GOE has 360 gw of contracts and market cap is $25 mill
So GOE should be 9 times 70 mill or 630mill =63c, when compared to LPE
The only way GOE price is going to go up is marketing to investors. Either through presentations from the company of from traders on forums or broker reports or other valuations. But when the half year of full year results come in the margins may become clearer- LPE states its margins. GOE does not.
The share-market likes certainty and LPE gives them the certainty of 18% margins and 5 yr contracts, with nice presentations. GOE does not state what are the margins or how long are the contracts= gives the market uncertainty, with no presentations.
Looks like the margin is 10%- but cant be sure of that. I emailed and asked about the margin and had no reply. So not my strength finding this info. Need to know the margin for electricity and gas contracts .
LPE say s its margin is 18% now- so cant figure out GOE figures properly without knowing the margins and length of contracts.
If i was a good researcher - would have this info- but ...?
@stratnew why do u like GOE - do u have any other shares to make money?
