It's adjusted EPS (which seem to be EBITDA per share?) = 0,11 per share in first half of 2016. Say full year adjusted earnings are 0,25 per share, then Basic Fit is trading today for a Earnings Yield (inverse PE) of 0,25 Earnings divided by 16,45 share price = 1,5%
Say "profit" doubles and you are willing to pay 15x profit then you get 0,25 x 2 = 0,50 x 15 = 7,50 Euros. Anything more than this seems (to me) ridiculously expensive.
Will be interesting to follow during the coming years, but not an investment for the Defensive Investor today at a Market Cap of 900m Euros and Enterprise Value of more than a billion and annual sales of less than 300m Euros...
Beware of EBITDA, as Charlie Munger says, when you see "EBITDA" think "BullSh*t".
I’ll leave it to Warren Buffett to explain:
“People who use EBITDA are either trying to con you or they’re conning themselves. Telecoms, for example, spend every dime that’s coming in. Interest and taxes are real costs.”http://corporate.basic-fit.com/Cms_Data/Contents/California/Media/Results/160825-H1-Report-BFIT.pdf
As far as Discounted Cash Flow is concerned, if there is no CF there is no DCF.
Conclusion: Growing revenue quickly, but stock seems expensive. Not a stock for the Defensive Investor.
See http://www.beterinbeleggen.nl/ for quality profitable companies.
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