Dec. 8 at 9:52 AM
$TOYO
Your opportunity here is the fact that they report every 6 months, not quarterly. It means that, for the patient, you can build your position while they build their earnings track record.
They've maintained guidance of
$375-400m in revenues for 2025 and
$39-45m in net income for the same reporting period.
That means that on current year they are trading at about 0.6x sales and about 6.2x forward earnings.
I'm not a fan of rev multiples but that would put current fair value at 19-21 per share.
The forward PE for profitable companies is a much better gauge. That would put it at roughly 32-39 per share.
That is today. Not 5 years from now. That is their 2025 guidance.
But regardless of your favored valuation measure you'd be hard pressed to have it equal 7 which is where it is now.
2026 should be much higher. They've intimated they will do 2 bucks a share in eps for 2026. That math is pretty straightforward based on the below...
