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Posted On: 12/13/2019 12:10:58 PM
Post# of 210
$GMGI PPS Should Hit a Minimum of $0.016...Take a Look
$GMGI is an audited SEC reporting company. Price to Earning Ratio (P/E) analysis shows that the Stock is highly Undervalued.
Earning has grown from negative in Fy2018 to 1.77 million dollars in FY2019. If I use FY2019 trailing earning, we come up with the following:
I used a couple of sources to look at a typical P/E ratio for the gaming/casinos industry. The average P/E ratio is about 20.
If I use a P/E of 20 for a trailing earning of 1.77 mil, I come up with a price of 35.4 million dollars. This means that the market cap of GMGI based on a trailing earning of 1.77 million dollars should be 35.4 million dollars.
The current market cap right now is 15.36 million dollars at a share price of 0.0056. Using a P/E ratio of 20, the stock price should rise to 0.013. Based on a very conservative FY2020 earning, using the reported FY2020 Q1 of $545K, with zero additional growth in quarterly earning, I come up with a total earning of 2.18 mil and a stock price of 0.016.
Note that this is a small growing company. The earning could rise at a much higher rate if the company continues to expand and acquire other companies. They can double or triple earning easily, especially since they are loaded with cash.
In summary, I am looking forward for a huge 2020....Stay Tuned....This is going to be big.
$GMGI is an audited SEC reporting company. Price to Earning Ratio (P/E) analysis shows that the Stock is highly Undervalued.
Earning has grown from negative in Fy2018 to 1.77 million dollars in FY2019. If I use FY2019 trailing earning, we come up with the following:
I used a couple of sources to look at a typical P/E ratio for the gaming/casinos industry. The average P/E ratio is about 20.
If I use a P/E of 20 for a trailing earning of 1.77 mil, I come up with a price of 35.4 million dollars. This means that the market cap of GMGI based on a trailing earning of 1.77 million dollars should be 35.4 million dollars.
The current market cap right now is 15.36 million dollars at a share price of 0.0056. Using a P/E ratio of 20, the stock price should rise to 0.013. Based on a very conservative FY2020 earning, using the reported FY2020 Q1 of $545K, with zero additional growth in quarterly earning, I come up with a total earning of 2.18 mil and a stock price of 0.016.
Note that this is a small growing company. The earning could rise at a much higher rate if the company continues to expand and acquire other companies. They can double or triple earning easily, especially since they are loaded with cash.
In summary, I am looking forward for a huge 2020....Stay Tuned....This is going to be big.
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