"I agree and just 75% of sales in market cap."
 

Here is an analyst report from last year after the acquisition of Keltech. They use sales multiples of .9 to 1.5 based upon similar acquisitions. For Keltech IWG paid 1.4 times sales. This stock should be trading over $.20, in my opinion.

The analyst had a $.30 one year target for the stock with a projection for the fiscal year of only $5.297 million in revenues. The company made just over $6 million in revenue. That is 14% higher and a 36% increase vs. the prior year. Given the recent contracts they anticipate further growth, and with the new levels of profitability they have more to invest in new product lines as a news release has mentioned. Maybe they will issue a new report given the new numbers.

Factors that could help get this stock there. It has now demonstrated growth over 1 year and demonstrated the success of its acquisition strategy. It is now earning significant money for reinvestment. It showed growth in all major product lines vs. last year and has a series of recent contract wins announced in October. With the revitalization of this company, and it demonstrating growth there should be more reasonable liquidity. A new president and CEO, and a new acquisition could also boost the stock. Another product line could further diversify their revenue streams to three. They now appear ready for their next acquisition given their cash and debt capacity. The first quarter results should further demonstrate the results were not anomalous but sustainable. The company anticipates further growth in the news release for next year.  

http://www.howardgroupinc.com/Portals/0/waterguard/research/IWG_research_aug0411.pdf


Read more at http://www.stockhouse.com/bullboards/messagedetail.aspx?p=0&m=31830988&l=0&r=0&s=iwg&t=list#AIYwwIoGKLiR3g3d.99