(Pre-profit/Total Shares)*PE While there is no doubt my numbers...

(Pre-profit/Total Shares)*PE

While there is no doubt my numbers will be out in terms of revenue and expnsess.. even if I am out say 10 or 20%, it helps me get a good feel as to what I think the share is worth... many times you hear will investors say this will be $10 in years to come (not necessarily about this stock) but there is really no science many of their comments. I am not cross promoting but simply giving ane example that someone was once convinced that a company called MSM had a real chance of getting to $1 in a few years... I did my own brief calc and nearly feel off my chair when I worked out that the 100mil in perf shares (yes 100mil shares, would have kicked in based on ridiculously low performance targets and as such I could not see a value above around 10c a share!)... well I was not off there!

Also.. many people as part of an IPO look at EV to decide whether a company is over or under priced... did anyone factor that it was inevitable that the first 7mil perf shares were going to kick immediately as the revenue target was easily going to be achieved? Read my IPO summary here for other areas of interest:
https://hotcopper.com.au/posts/25443636/single

This is similar for many mining companies that list with a low EV then have ridiculously price options and easy perfromance targets... I am learning every day.

In saying all this, some may be disappointed that I have a target of $2.40 by 2022.. I do not really care.. I like to be conservative and if a compounding 60% return at todays share price of 35c is not enough... well go elsewhere and put your money where you think you can do better....