NEWBIES: YOUR DILEMMA Part IV (the last one)
It has been demonstrated in the previous "Dilemma" posts that TSIG has the potential (not realized as of yet) to pull down a lot of revenue. CEO Robert Gordon stated in his web site interview that TSIG should reach positive cash flow by summer. The longs you may have noticed took a "ho-hum" approach to this statement, mainly due to the fact that Mr. Gordon's prognostications have been a bit wide of the mark in the past. In Mr. Gordon's defense, predicting the future is a heckuva sight easier when the future is not so far off in the...well, future!
There are two ways that TSIG could get on the NASDAQ. One is to qualify by stock price by doing a reverse split. Since I'm not one to yell "Fire!" in this crowded theater, I'll leave that subject. Another way to get on the NASDAQ is for TSIG to acquire a currently listed company which has fallen on bad times (a "shell"). TSIG takes control, changes the name of the company to TSIG, and voila!
A NASDAQ listing would do the following: 1) give the company greater credibility; 2) open the stock to purchase by mutual funds; 3) greatly widen the pool of investors who would want to buy the stock; 4) lessen the market makers' manipulation; and 5) increase the stock's visibility.
So, newbies, the questions you should answer are these. Will TSIG reach positive cash flow this summer? If so, how far behind will profitability be? Will TSIG reach the NASDAQ? If it does, what will be the effect on the stock price?
Warren Buffet says if you buy and hold a great stock, you only have to be smart once. BTW, CEO Robert Gordon used to be a stockbroker. He takes a dim view of daytraders and likes to make them look like fools whenever possible.
Regards, Suzanne (known to a few as Her Royal Highness) |
