units acquired by the distributor so no real sales, no dollar figures provided by KSX so proberably done at a product launch price . Would like to know what profit margin KSX is getting per unit.
Market cap a bit rich for a company with no proven sales and burning around $4m a year. Better to go long once sales at least cover costs.
If you compare global medical device companies KSX with CMP you will see that KSX market cap compared to its current sales is extremely high .
Sure KSX is just starting to ramp up sales but unless you know what type of margin they are recieving from the distributors KSX is going to need substantial product turnover.
Most of the medical device companies start off using distributors but find out they dont work out as they dont provide any product support so sales die off after a short burst. For KSX to succeed they are going to need a sales force in most of the large regions.
KSX with sales of around $40,000 plus has a market cap of around $30m (soon to be higher with cap raising) .
CMP with sales of around $10m a quarter has a market cap of $28m .
KSX Price at posting:
5.0¢ Sentiment: None Disclosure: Not Held