Working from the share price calculator and a sale price of $2m, a PE ratio of 15 and manufacture of 600 units per year, 5%, revenue per sale equates to a share price of $0.80. Based on the same assumptions above, and 1,000 units per year the share price works out to be $1.34. The prices calculated can be doubled if you're looking at 10% royalty on the stated manufacturing output. Now lets say CAT is selling the machine for around $5m per machine and returning 10% in royalties to FBR, the share price based on the a PE ratio of 15 and 1,000 units per year works out to be $6.68. So at the end of the day the share price of FBR will come down to the manufacturing agreement struck with CAT or another manufacturing partner, how much a unit will sell for, and how much will be returned to FBR. Still, it's a long way away from manufacturing at this point, so all of this is very long term conjecture and based on variables that are nothing more than assumptions at this stage. As I have said before, this is a long term hold for me, and everyone should do their own research before investing. One thing is for sure, robotics in construction will be happening, and FBR will no doubt be a massive player in this segment of the market.
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