I suggested that if the company gets away from scam valuation, which is where you value it, then a very fair valuation, and one which investors at this end of the market would use, would be a price to revenue ratio of 3-4 depending on growth. That's purely an opinion based on the company proving somehow that it's not a scam, perhaps with the promised production of AF's.
Investors here should understand the risk that the company is a scam and should evaluate the risk/reward ratio. They know how much they can lose if it's a scam, .015 a share. If it's not a scam, then the world of pinkies rewards non-scams with multi baggers. It's hard to otherwise explain the 100 baggers many have enjoyed, against virulent bashing in stocks such as LFWK, HISC, and smaller multi baggers such as PAIV, PAIM, AURC, NDOL, etc. Investors are so hungry for information in this area, that whenever management shows a streak of honesty, stocks fly. I wish this weren't the case, but it is.
You don't seem to understand these very speculative markets. You claim you keep giving real world comparisons but your comparisons are in the private, non-public company sector. Perhaps as you get more experience valuing companies in the pink sheet sector, you will understand.
You make up numbers such as 30% valuations, which again, shows your inexperience, with all due respect, in the pink sheet area. Given the company has been bashed down to a level where sentiment is extremely negative, it is IMO priced as a scam.
You have an opinion and your repetition of it won't make it the correct one. I'm not claiming that my opinion is correct. It's an opinion, nothing more,nothing less.
With respect to the merger, I agree that this issue needs to be explained and, as I've posted many times, the AF's should provide the information you have requested. The company is priced as a scam at this point because they failed to produce AF's as promised. AF's would answer many of the questions and the uncertainty and the failed promises price the company as a scam. It's not rocket science.
Although you may not be aware of this, pink sheet companies rarely file merger documents anywhere. They are non-reporting. So your request at this point is an empty one. It's a generic type bash and one which could be applied to virtually any pink sheet company.
I don't like the fact that the SEC doesn't require this type of information. I've advocated full disclosure in this area for years, along with full disclosure in the areas of toxic financing, insider sales, paid promotion sales, Naked Shorting, MM manipulation, hedge fund trading in these companies, all sources of manipulation in my opinion, and all factors which create uncertainty and risk in this market. However, the fact is that we have an inherently scammy environment and most investors in this area understand this. Perhaps as you get more experience you will begin to understand that private party transactions are largely irrelevant to a discussion of any pink sheet stock. It's doubtful that your valuation model would fly even in the OTC BB area but that's getting off topic. |
