Re: Trash Talking and ALYD
I certainly agree that anyone who recommends a BB stock with a negative balance sheet and reg -S shares should have their head examined. Well, the CAT scan is complete and here are the results:
BB Stock
IMO, the NASDAQ listing is in the "any day now" mode. Why? Because it is a fact that: 1) The SEC has already responded to ALYD's application, 2) All questions were clarifications not objections, and 3) ALYD responded to the SEC several weeks ago. Only NASDAQ knows when this might happen and they aren't talking, even to ALYD. So, no alternative but to sit tight.
Balance Sheet
I'll leave it those more qualified than I am to estimate ALYD's EPS price based on the latest Edgar filing (i.e. see Rex Dwyers posts: techstocks.com
According to the SEC document:
...Revenues are expected to grow from $500,000 in first quarter to in excess of $10 million for fourth quarter. The Company's forecast is that recorded revenue will exceed expenses beginning in May, 1997."
However:
"The forward looking information reflected above is based upon only those commitments which are known as of March 31, 1997, and do not incorporate the expected substantial additional revenue to be derived by the Company during the course of 1997. The Company has a significant amount of excess capacity beyond the revenue included in the forecast with its existing cost structure. Therefore, additional revenue can be generated with insignificant increase in cost, since labor is the primary cost factor involved in the Company's operations."
What??? Did ALYD not take into account the Aer Lingus, MD, and 3M contracts, which happened three months later during June? Hmmmm...
Full listing may be analyzed at:
freeedgar.com
Reg -S and Insider Selling
The Reg -S shares are restricted by law until next April, one year after they were purchased. I wrote about them at length several months ago: techstocks.com
Therefore, these are a non-issue.
There is only one instance of a principal of the company selling shares to my knowledge: when the CEO sold some last year to raise money for ongoing operations. Since then, as far as I know, a single investor started to liquidate his shares last September and is now totally out. I'll investigate the recent Form 144, but I've been told in no uncertain terms that the principals are not even contemplating selling at this point-- so this should be a non-issue.
Conclusion
Patient appears sane, although data from patient's wife has mysteriously disappeared that may have shown otherwise.
It took more than a year (4/24/96 - 5/23/97) to account for the first 350 posts. It took less than a month and a half to account for the next 350 posts (5/23/97 - 7/4/97). If patient is truly insane, then patient must be contagious (gg).
- Jeff |
