Ann: Sales Update, page-14

Hi All !
Sales are growing from 13 to 14,5 MAUSD as macroconditions went from horrible to good. Growth from the past is meaningless, the basis was way too small (some restaurants had better revenues).
High margins cannot improve indefinitely, and skimping on sales and marketing (look at that website ! ) and R&D is shortsighted in my humble opinion.
The ban on chemical sunscreen looks like wishful thinking given the very positive risk/benefit ratio they have on human health and no sources indicate it’s in the works. No large study that I know of proves zinc sunscreens have a better risk/benefit profile. Risk probably but what about benefit ?

Substantial growth not happening now means the product is not in very high demand. Why should we expect better going forward ? What’s preventing that from happening now ? Did they even gain shares in the sunscreen market last year? A chair which is shareholder aligned is nice but does not help with demand.

High valuation is not warranted by the quality of the business right now (tiny, not diversified, no durable competitive advantage, low growth), risk of rerating is important. But I’d like to read some valuation analysis that proves me wrong.