numbers dont add up, page-8

First 8 Last

Share
Profile

Follow
Sharestuff89

468 Posts.

5

26/10/17

08:02

Post #: 28203066
Share

Originally posted by centrenow ↑

what other people post (emotive or not) isn't a reason to trade/invest in a stock. I have done plenty of research and worked through financials on this stock (and have traded it prev, mainly 2016). Reason I won't even entertain a trade currently is sales/cash on hand. There is no point raising funds to fund orders, when the sales volumes are massively below what is needed to break even let alone make a profit. I have run multiple models using different margin assumptions and using the company quarterly burn and half yearly/annual financials statements. IMO and based on my calculations only, and dependent on sales mix (now that Rova is half the RRP of airseflie) - something like at least 50-60,000 total unit sales per annum are needed. Compare that to announced figures (2700 sales in the first several months) and meantime each quarter the costs are still being incurred. The forecast cash burn for this quarter is 900k (excl rev), the half yearly shows $4m of cost for the first 6 months.

Just plug your margin and volume assumptions into a spread-sheet and see

good on you if you are on the right side of the risk/reward for your trades on this one. For me, its too risky. Unless Q3 Q4 show tens of thousands of units ..given the seasonality ...I don't see how this is financially viable business model

IMO only DYOR

Expand

Pretty sure the forecast revenue was $25,000,000 for calendar 2017?! Quarterly should be interesting.... IMO

IOT Price at posting: 1.1¢ Sentiment: Sell Disclosure: Not Held
2 Upvote

0 Great analysis

Reply

Top Stories

TTT

Titan raises $20M to 'get cracking' at Ecuadorian Dynasty silver-gold project

Breaking news: New opportunities for investors & companies - HotCopper opens to capital raising!

MAU

Metallurgical work shows gold recovery above 91% for Magnetic's Lady Julie North 4

ACW

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

There are more pages in this discussion • 3 more messages in this thread...

First 8 Last

Add IOT (ASX) to my watchlist

numbers dont add up, page-8

Top Stories

Titan raises $20M to 'get cracking' at Ecuadorian Dynasty silver-gold project

Breaking news: New opportunities for investors & companies - HotCopper opens to capital raising!

Metallurgical work shows gold recovery above 91% for Magnetic's Lady Julie North 4

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

Featured News