Vystar Corp. (OTCMKTS: VYST) has seen a dip in recent days on profit-booking, but on a yearly basis; the stock has given huge returns to investors and traders and looks good for long term Investments.
Vystar Corp. manufactures Various products for medical sectors, offices, and homes. These products are eco-friendly and include gloves, mattresses, pillows, mattress toppers, air purifier, etc.
On a YTD basis, the VYST stock has jumped 1,890.78%. It has gained 180.52% in the last one year, which shows strength in the long-term basis in this is stock. However, in the short term, the stock has declined and gives a good chance for investors to get it at lower prices. In the last 5 days, the stock has declined -16.28%. In the last one month, the loss in the stock price has been -24.61% and in the last 3 months, the VYST has gone down by -20.88%. This decline was triggered by profit-booking by investors when the company announced its plans to spin off some part of its air purification business and create a separate, publicly-traded company. The company’s air purification business is known as RxAir. The company is going to turn it into a separate entity and start trading this new company in the first half of 2020. This public-traded subsidiary will be named RxAir, Inc.
Vystar Corp. has declared its evaluation which includes Current P/E at -1.14 and P/E Ratio (with extraordinary items) at -3.55. The company’s Price to Sales Ratio stands at 0.82 and its Enterprise Value to EBITDA is at -8.85. It has declared an Enterprise Value to Sales at 48.16 while its Total Debt to Enterprise Value is at 0.91.
Looking at the companies efficiency data, it has declared Revenue/Employee at 342,049.00 while its Income Per Employee is at -5,401,222.
The company’s profitability numbers also contain negative values. Its gross margin is at -12.79. The Operating Margin is -1,086.13, Pre-tax Margin is shown as -1,579.08. The company’s Net Margin is registered at-1,579.08. It has declared a -389.02 Return on Assets and -5,990.76 Return on Total Capital. Its Price to Sales Ratio is 0.82.
The company has expressed hopes that this new strategic initiative will bring value for the shareholders, and attract new shareholders who will be interested in buying Vystar shares to benefit from the dividend. The company is optimistic that this spin-off will have many positive outcomes. The new entity is expected to have a market capitalization of $10 million. This value is based on the market track record, capital and assets. According to the company statement, it’s shareholders will receive 39.1% shares, while the company will retain 9.99% shares. The company’s holding value will be $1 million and its Remaining acid value in the new company, RxAir Ic, will be $6 million.
VYST stock looks like a good bet for the long term investors. Once the buying support returns, this stock is expected to make upward moves. fffffffffff