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Posted On: 10/20/2019 1:02:30 AM
Post# of 82676
Hi.
I think you are describing the potential complexities of what could happen pretty well, but I think we'll see revenues grow for awhile before then. I'm not opposed to things moving more quickly though!
Personally, I think the company will have signs pointing towards a future 100m in annual revenues before serious buyout offers are made. I believe the CEO has indicated that he wanted to grow revenues first. If a number of deals deliver this quarter and next, who knows what picture some analysts might start to piece together.
Of the 3 major elements to SFOR; Intellectual Property, Channel Partner Deals, and Blocksafe, it's the deals that I choose to focus on and the metrics of ACS/DSS are currently the most transparent. If they get 10% of the 20 million clients mentioned in the SFOR March 19 press release, it means about $3m to SFOR and that is operations profitability right there alone. If it's mandatory for all the 20m to have licenses, it would be IMO perhaps $30m to SFOR. That's a number that can retire all of the SFOR debt and buyback shares as well.
If the above takes place and other deals kick in, imagining $100m in annual revenues might look a bit more doable. Somewhere in the zone where industry people start to project SFOR revenues exceeding 50m annually is when I think SFOR will get significant bids that they might take seriously. $100m is where DUO was in revenues when they were bought. SFOR has a few employees whereas DUO had hundreds. SFOR will have a much higher rate of profit IMO.
I think that the biggies will want all the patents and so I predict that ACS will eventually either sell their interest in the keystroke patents or they will also be absorbed by a biggie.
All the above is my opinion only. There are no guarantees.
I think you are describing the potential complexities of what could happen pretty well, but I think we'll see revenues grow for awhile before then. I'm not opposed to things moving more quickly though!
Personally, I think the company will have signs pointing towards a future 100m in annual revenues before serious buyout offers are made. I believe the CEO has indicated that he wanted to grow revenues first. If a number of deals deliver this quarter and next, who knows what picture some analysts might start to piece together.
Of the 3 major elements to SFOR; Intellectual Property, Channel Partner Deals, and Blocksafe, it's the deals that I choose to focus on and the metrics of ACS/DSS are currently the most transparent. If they get 10% of the 20 million clients mentioned in the SFOR March 19 press release, it means about $3m to SFOR and that is operations profitability right there alone. If it's mandatory for all the 20m to have licenses, it would be IMO perhaps $30m to SFOR. That's a number that can retire all of the SFOR debt and buyback shares as well.
If the above takes place and other deals kick in, imagining $100m in annual revenues might look a bit more doable. Somewhere in the zone where industry people start to project SFOR revenues exceeding 50m annually is when I think SFOR will get significant bids that they might take seriously. $100m is where DUO was in revenues when they were bought. SFOR has a few employees whereas DUO had hundreds. SFOR will have a much higher rate of profit IMO.
I think that the biggies will want all the patents and so I predict that ACS will eventually either sell their interest in the keystroke patents or they will also be absorbed by a biggie.
All the above is my opinion only. There are no guarantees.
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