News: DRO U.S. to announce $1.3 bln in military aid for Ukraine -sources, page-56

Although it is undoubtedly true that markets are forward looking - the problem is that we don't know what the future holds and therefore forecast values are very unreliable to the point of being meaningless. In this case iceman101 is predicting sales growth of 300% this year while I am predicting 150%, that difference has a massive difference on valuation and if a shareholder over estimates the growth rate by even a few percent they are going to get slaughtered on the stock. My point is: be conservative if you want to retain your shirt.

You and other posters talk about pipelines but these are no more than guesses and investors should be very conservative as more often than not they are not fully realised. A perfect example of this is a little company called YPB which had a great future ahead of it in 2016 selling anti-counterfeit technology into China and announced a pipeline of $26 Million. Seven years later their revenue is $70k per quarter and they have not had even half of $26 Million of revenue in total in their more than ten years as a listed company. The stock now has a market cap of less than $2 Mil and a share price of 0.3c. I certainly do not think that DRO is another YPB; however, having realistic expectations is critical to avoid being burned.

The reality is that DRO is very hard to value and the best way to avoid paying too much is to look at past performance as this will give a guide to managements ability to deliver, particularly against what they will say they will deliver. Another useful guide is to compare it with other similar stocks. I did that against the best tech stock going around (WTC) and on a like for like basis DRO doesn't look like a bargain (nor does it look particularly overpriced).

My suggestion is to look at real sales (contracts are a reasonable indication, pipelines worthless unless the company has a history of delivering on them). The quarterly numbers will give us real sales data and are the next milestone to how the company is delivering on recent contracts and is meaningful. If they are good, the market will spike on the news and I will either sell or wait until the excitement dies away and then pick them at more reasonable prices when the cheer squad has lost interest.