CFU 0.00% 0.4¢ ceramic fuel cells limited

very exciting news 100,000 units by 2018, page-9

  1. 1,937 Posts.
    ::People we pay a premium for sometime for something that is percieved to be value.

    precisely!! and the orders are flooding in??? rush out and buy one for yourself now if you think that - but we know you are not going to because it has no payback even in the current local climate. australia is typical of a high inflation economy presently.

    100,000 units over 7 years = $2.5bn (using above) /7 = $360M p.a. revenues

    div #shares = 1.2bn = 30c/shr eps if this is net revenuw on $40K sale price

    secure an order base at this price and CFU will take off at those prices.

    HOWEVER -

    AUS $10K payback cost per unit over 10 years cell lifecycle on current AUS levels = $1bn over 7 years = $142M p.a. = 11cps; p/e multiple of 5 with a 5 year order book = 55c target LONG TERM! (with an order book of 100,000 units)

    BUT if bluegen cannot generate a profit on lower cost per unit (which CFU would know if they can or not), then CFU is dead in the water already.

    Forget fancy graphics and storytelling about 'if' these things sell at $40K p.u, if it;s not happening then no one is seeing the value because their is no payback. Price has to drop and CFU need to build an order book. Full stop.

    If it happens at $40K per unit, hang onto your seatbelts.

    Long term buy at lower levels.
 
watchlist Created with Sketch. Add CFU (ASX) to my watchlist

Currently unlisted public company.

arrow-down-2 Created with Sketch. arrow-down-2 Created with Sketch.