BTA 0.00% 57.0¢ biota holdings limited

good-bye 1.80 / hello 1.60, page-48

  1. 2,473 Posts.
    re: good-bye 1.80 / hello 1.40 i've been doing a little bit of research this evening.

    i reckon, based on my findings, that BTA won't be at these levels for long.

    The last announcement was a real eye opener if read carefully.

    One must ask the question, if a company is operating at total full capacity, what is it worth? I've never yet seen a company which is working to the point in which it has no real ability to fulfill demand, there is normally some way in which it can outsource or subcontract to fill the demand for its product/service.

    But reading the recent announcement, BTA is in that unique situation, there is unprecendented demand for its product and currently there is no physical way of meeting that demand. Now having studied economics in my business degree i learnt that when demand outstrips supply, the price goes up. I don't know if it will in this instance, but what it does guarantee beyond any doubt, is that the business will be profitable.

    poses the question, what is the maximum value BTA can possibly be given its operating at maximum capacity?

    the only thing we don't have, and it happens to be the most important thing for the calculations ... are the full sales figures, margins etc. all we really know is that BTA will be profitable, but by how much????

 
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