Building a Base, page-2

Looks like accumulation this month, volume seriously picking up post nasdaq announcement.

$4.3M (21.19M shares) in the past 14 trading days.

8.1M shares past 4 days, i think you could be right sagh she's gonna pop.

Watch her run on the break of 24.5 won't take much retest and break old highs 31 cents. Nasdaq listing should do it. Yanks are going to swallow this up, i can feel it.

Let me put something into perspective. Dropbox just raised $400M at $8B valuation.

Dropbox, assuming $200 million in 2013 revenue, and an $8 billion valuation, is being priced at 40 times its trailing twelve month’s (loosely) top line.

That’s more than Twitter thought was reasonable for itself. Twitter’s stock price has declined from its earlier highs, lowering the revenue multiple that investors are willing to pay for its shares.

So, Dropbox at $200 million is either roughly on par with what investors will pay for Twitter, or valued slightly more richly. The companies are of course incredibly different, but both are large technology firms with nine figure revenue and valuations in the billions, so we can draw some parallels.

For fun, Dropbox with $250 million in 2013 revenue, and an $8 billion valuation, would be priced at a 32x revenue multiple, roughly in line with what Twitter valued itself when it finally went public.

Uber a private tech play completed a $1.1B funding round at a $17B Valuation. A leaked document, suggested that the company generated revenues of $220 million for FY13.

While im not suggesting Moko is the next Twitter, Dropbox or Uber these examples highlight the valuation based on revenue multiples.

Moko generated $500,000 in May. That number still do not include any REC*IT advertising revenues, which we only expect to contribute in the 2014 December quarter once the roll-out for the new school year has occurred.If we apply a 30 x revenue multiple to $6M that suggests Moko currently worth $180M

Based on Fosters stockbroking research revenue projections for 2015 Moko could generate north of $90M in revenue. 30 x = $2.7B , 20 x=$1.8B or even just 10x = $900M

This is why i think if they nail the revenue target in the first few months of roll out later this year there is no doubt Moko will be north of $1 , in fact im convinced that it will be taken over by a monster with to much cash on their balance sheet or the REC IT business specifically gets targeted because a media agency will want to own that audience, i mean we talking about half the entire college population of U.S.

All i can say is well played Mr Rodwell, Take a bow - you have created a monster!