I have been having very similar thoughts - value is based on future profits, not current profits or revenue. While I 100% agree about the comments made on the forum re: this being an early stage growth company, profit cannot be ignored - profit is why we’re here.
I am curious as to what assumptions you made to get a DCF to spit out 26c. When does your model expect us to be profitable?
It was difficult to forecast cash flows before the recent acquisitions.. These acquisitions will obviously benefit current and future revenue, but estimating what they do to the bottom line seems to me like an impossible task. I would love to hear some synergy estimations from DT (Both in the form of expense efficiency gains, and revenue growth opportunities from cross-selling).
And what’s a reasonable assumption for organic growth? At some stage organic growth will only come from different market segments - eg. larger wineries.
Will this organic growth require more capital investment into logistics?
DT probably has good answers to all of these questions - would love to hear another interview following the recent acquisitions.
DW8 Price at posting:
5.6¢ Sentiment: Buy Disclosure: Held
(20min delay)