Appreciate the input. I considered using IRR, but that would require consideration of the end user's circumstances, so I stuck with payback period for simplicity. I agree that $100k profit is low, being a 5% profit margin on FBR's stated price of $2m, but I also felt that a purchase price closer to or exceeding $1B was excessive. Doing a bit more research, construction/mining machinery profit margins look to be roughly 28% gross and 9% net, while CAT's margin for the quarter ending Spetember was 12.78%.
https://csimarket.com/Industry/industry_Profitability_Ratios.php?ind=202
https://ycharts.com/companies/CAT/profit_margin
Is FBR a worthy investment?, page-16
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Last
3.8¢ |
Change
0.001(2.70%) |
Mkt cap ! $183.3M | |||
| Open | High | Low | Value | Volume |
| 3.8¢ | 3.8¢ | 3.7¢ | $101.2K | 2.689M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 56 | 9149793 | 3.7¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 3.8¢ | 144620 | 1 |
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| Last trade - 16.10pm 08/11/2024 (20 minute delay) ? |
| FBR (ASX) Chart |