Well if the smart proffessional investord like OC Small cap fund are dumping their shares at 75cents, it sounds like the rest of pentanet is doing bad. Like losing $11m in six months, doesnt get more bad than that. Or will it? Has there ever been a profit to the company, or any remote chance. Answer - No. Looks like its been lots of promises and zero delivering. Nothing ever came of that GG. Gaming network thing. NBN business bleeds cash. Fixed wireless is fast becoming a very small part of the ISP biz. How can you trust based on such poor track records of constant failures.
so this revenue to pentanet, did you ask what the percentage commission is that Nvidia take off every monthly revenue ? Well, if you didnt ask such a basic question, Nvidia take a 35% commission. That seems exorbitantly high. Uber eats or uber or didi etc only takewhat 20% to 30% commission, but these companys dont make you spend $20million cash upfront to get the right to be scalped at 35%. Insane to enter into a deal on these terms. Does any biotech or mining company ever pay a 35% royalty on their assets? Setting one self up for failure, or just losing a bunch of shareholders their cash.
say $5 per month, means pentanet get net revenue of $3.25 per customer. Then pentant has to pay data server hosting costs, marketing expenses, and customer service expenses.
plus this server technology equipment has what a 2 year life before its obsolete. Going to need a tonne of subscribers at $3/ month to somehow pay all this opex (data, marketing, customer service) to even remotely consider breaking even in two years on the multimillion dollar outlay.
total shares on issue of what 297million, hard to see how net revenue of $3/ customer is anything to be excited abiut on a $280million valuation.
DYOR
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