it’s all based on net earnings increases of 35%. If they achieve...

it’s all based on net earnings increases of 35%. If they achieve better than 35% YOY then they would reach it much faster. They will need consecutive profitable quarters to attract a lift and investment attn. that said they have committed to payment of the acquisition through this method or last resort by raising debt.

As you know this is not the only way to value a business as this method is on net earnings and growth alone. Assets, sentiment, future revenue, debt, management, acquisitions all play a vital part. Either your pessimistic or optimistic on these other factors. Which is what you see with BUBS.

So so let’s assume they forecast to double their revenue in the next 12 months to 150m going forward and have more favourable manufacturing cost savings as indicated in the announcement with the new plant that would put them at approximately 24 - 30m net earnings. (Estimated)

BUBS as a comparison could either be in speculation mode and priced high solely on future growth (which needs to be realised BTW) or JAT is perhaps undervalued.

ATM Net earnings approximately 250m MC 1.1B
BUBS Net earnings (18m) MC 600m
JAT Net earnings 12M MC 50m

The upcoming guidance if massive should force the next jump perhaps to a consistent 12c SP making the MC 100m after that bigger corporate institutions and funds are allowed to jump in.

Just our thoughts....