I could use your 'basic maths' with any high end item to justify buying it. However I'm not going to bother.
Someone has already done the maths on here of reasonable expected sales.
Have you looked into the basic maths of how many selfie sticks are sold per annum? And they are only about 15 bucks... At most... 25% of selfie stick owners would buy a selfie drone. My partner and friends who love their selfie sticks laugh at the idea of having a drone to take selfies (a lot of girls don't like gadgets).
Of that 25% only a say 5% proportion of people would buy a roam-e possibly over another competitor... So now you have 5% of 25% can you do this basic maths? And then of this 5% of 25% revenue your company might make a 12% gross profit (Parrot has about a 12% margin).
So yes, basic maths says: IOT could IMO expect a 12% gross profit of 5% x 25% of the selfie market. And then there are taxes to pay.
Basic maths also says compare IOT to a drone maker like Parrot who was operating at a loss last quarter... Yep, one of the most popular drone makers in the world... Who doesn't just rely on retail drone sales... And their market cap is approx. 10 times that of IOT...
Does IOT deserve a market cap a tenth the size of one of the biggest drone makers in the world based on a prototype?
IOT Price at posting:
9.6¢ Sentiment: None Disclosure: Not Held
