Science & Technology
Science and Technology
Science and Technology
Fri, June 19, 2009
Thu, June 18, 2009 Muscle Flex Inc.: Grass Roots Research and Distribution, Inc. Initiates Coverage on Muscle Flex Inc. With Strong Buy Rating and
LOS ANGELES, CA--(Marketwire - June 18, 2009) - Muscle Flex Inc. (
The Report States:
Muscle Flex, Inc. is a specialty marketing firm focused on bringing new consumer health and fitness related products to market. The Company is developing infomercials and advertorials to directly market its innovative products to consumers. Muscle Flex is operating a platform business model where it outsources manufacturing and call center operations, and partners with media producers to create the direct marketing infomercial. This business model enables the Company to keep expenses low while launching new products. The inherent low fixed costs in the business model reduce downside financial risk while enhancing profitability.
The first three products scheduled to launch in the second half of 2009 are inexpensively priced personal health and safety products. The Company is focusing on lower priced products initially due to the weak economic environment. In early 2010, the Company plans to launch the Muscle Flex™ product, a revolutionary in-home fitness unit that combines cardio, strength training and flexibility into one product. We expect the Company to introduce additional products in 2011 and beyond.
The Price Target Valuation States:
We expect revenues to ramp up significantly in 2010 and 2011. Our forecasts assume the Company raises $700,000 to launch the initial infomercials in 2009. We expect revenues of $500,000 in 2009 to increase to $8.7 million in 2010. Our short-term price target is $0.22. Our intermediate and long-term price targets are $0.58 and $1.50, respectively. We believe Muscle Flex is a compelling investment opportunity.
About Muscle Flex Inc. ([ www.MuscleFlexInc.com ])
Muscle Flex Inc. brings new products to market using direct response TV infomercials specializing in the health, fitness, wellness and hygiene sectors. As well, Muscle Flex Inc. develops and creates general television content for network and cable television distribution. Muscle Flex's corporate strategy is to develop new and innovative products for sale and distribution via its proprietary direct response marketing system and the creation of television shows and content.
This press release contains forward-looking information within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and is subject to the Safe Harbor created by those sections. This material contains statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. Such forward-looking statements by definition involve risks, uncertainties and other factors, which may cause the actual results, performance or achievements of Muscle Flex to be materially different from the statements made herein.
