valuation has just increased, page-3

It is difficult to give a peer comparison because RQL is the only company I know of that provides the service it does. And still, I've never been so interested or seen the benefit in peer comparisons when determining value.

The way I reached a figure of 89c is very simple.

I first worked out how much I would buy the whole business for as a private owner (taking into account all metrics, quantitative and qualitative.) I then did a thorough assessment of the company's growth to date and its likely growth into the future (also including in this my rough thoughts on DSA's growth when RQL markets their services across Australia.) Having done both and arrived at a figure I then divided it by the total number of shares on issue and came to the figure of 89c.

Obviously if you are an intelligent investor you would want to purchase shares at a deep discount to their fair value (taking into account unforeseen events which could affect this valuation.)

The current share price offers this opportunity although I would hope that anyone reading this will come to their own conclusions through their own work and think independently.