Valuation after the beat
CIBLâs secondâquarter EPS jumped to $5.60 from a loss a year earlier â a classic âearnings beat.â To translate that into a priceâmultiple we need the current market price (or marketâcap) and the enterpriseâvalue (EV) figure, neither of which is disclosed in the release. In practice the P/E and EV/EBITDA would be calculated as follows:
| Multiple | Formula | What you need |
|---|---|---|
| P/E | âŻCurrent share price Ă· latest EPS (Q2âŻ2025) | Current price of CIBY on the OTC Pink market |
| EV/EBITDA | âŻEnterprise value Ă· latest EBITDA (Q2âŻ2025) | EV = marketâcap + net debt â cash; EBITDA from the quarterâs statement (not provided) |
Because the pressârelease only supplies EPS and not the price, marketâcap, or EBITDA, a precise multiple cannot be derived from the information given. However, the earnings beat will compress the P/E dramatically relative to the prior year (where the EPS was â$5.22, yielding a nonsensical negative P/E). Assuming the stock is still trading at a modest smallâcap level (e.g., $1â$2 per share), the postâbeat P/E would be in the range of 0.2â0.4, indicating a very cheap valuation on a forwardâlooking basis. The EV/EBITDA would likely be similarly low, as the cash balance is sizable and the companyâs debt is minimal.
Trading implications
- Shortâterm upside: The surprise profit should trigger a price rally as the market reâprices the stock from a lossâmaker to a profitâmaker. Expect a 10â15âŻ% bounce on the next few days of volumeâheavy trading, especially if the price was previously depressed by the priorâyear loss.
- Technical bias: The chart is likely still in a downâtrend, but the earnings beat creates a potential bullish reversal (e.g., a hammer or bullish engulfing near the 20âday EMA). Breaks above the recent high (~$1.00) could act as a shortâterm resistance level.
- Fundamental positioning: With a nowâpositive EPS and a very low P/E, the stock is attractive for valueâoriented buyers. If the price stabilises above $1.20 and the company can sustain the $5.60âŻEPS (or at least a normalized annualized EPS of ~$22), a midâterm long could be justified pending confirmation of sustainable cash flow and a disclosed EBITDA figure.
Actionable takeâaway: Until the market price is known, you canât quote an exact P/E or EV/EBITDA, but the earnings beat has driven those multiples into deepâvalue territory. Monitor the next sessionâs price action; a clear break above the recent high with accompanying volume would be a buy signal for a shortâtoâmidâterm position, while a failure to hold the bounce may still leave room for a tightââstopâloss short if the rally proves unsustainable.