National Vet Care possible Valuation

GXL closed at $6.84 up nearly 15% after excellent results today. Its valued at $770 Mil now. Its PE is 20.02

Now NVL is new. It will have 35 Practices compared to GXL's 125 or so couldn't remember exactly. NVL has already acquired 15 of those practices last week. NVL's team is from GXL, who shore up the growth there. NVL is at a proposed PE of 10.98 being a smaller brother ( even though it is the 2nd biggest listed vet care play now ) it deserves to be at a slight discount even though NVL doesn't have the retail drag like GXL and NVL's team has totally proved themselves at GXL by creating it to what it is today. So apply a 20% discount to NVL   which is very conservative

Then NVL can have a potential valuation based on a Projected PE of 16.03 that equates to a Price of $1.46

If the market wants to rate it as equal to GXL due to its proven Management and No retail drag like GXL then the valuation of NVL would be $1.83

Pitcher is Hot now

Kindly add your comments.