Obviously, it is never nice to see a share price fall of a...

Obviously, it is never nice to see a share price fall of a company you own, but given that I am in the buyers' queue at 1.2c, I won't complain either way if we do get there.

Although the share price is at 1.3c right now, it would be very difficult to pick up a meaningful amount (i.e 5m units or more) down at this level. One would have to be very patient to accumulate a substantial holding (5% or more of SOI) at these levels.

CXZ's consolidated net assets are at US$3,889,688 ($5.5 million AUD) as at 30June 2021. Cash and liquid investments remained constant as of the last quarterly update (Sept 2021) at $3m USD ($4.26m AUD).

The consolidated profit for the year ended 30 June 2021, after providing for income tax was US$510,778 (2020profit: US$2,161,374). So we are looking at a FY21 NPAT of $0.72m AUD in the height of the semiconductor shortage. That's a 16x PE at 1.3c. Based on FY20's PBT (a better metric than NPAT for FY20 due to one-off tax benefits experienced that year), that is a 3.5x PE (or a 2.2x PE on FY20 NPAT).

So if you think that the company can return to FY20 levels of revenue/profit as the semiconductor shortage unwinds, one can buy at a 3.5x PE at 1.3c. Regardless, I don't think PE is the best metric to track for CXZ, because they are investing for growth. The metric I am most interested in is how gross profit grows over time.

I was about to pull the trigger to line wipe the 1.3c offers but someone has beaten me to it as of circa 12:37pm.

	Share Price ($)	Market Capitalisation (MC) (millions)	Enterprise Value (EV) (millions)
1	0.005	4.4	0.1
2	0.006	5.3	1.0
3	0.007	6.2	1.9
4	0.008	7.0	2.8
5	0.009	7.9	3.7
6	0.01	8.8	4.5
7	0.011	9.7	5.4
8	0.012	10.6	6.3
9	0.013	11.4	7.2
10	0.014	12.3	8.1
11	0.015	13.2	8.9
12	0.02	17.6	13.3
13	0.025	22.0	17.7
14	0.03	26.4	22.1
15	0.035	30.8	26.5