JOE,
I don't think Riley G's naked shorts (sounds off color to me)are a problem right now. There are over 8MM shares in float and most of those shares were acquired at higher prices. There are a lot of shares in the hands of people who have experienced more that 50% loss and I think I can imagine their state of mind. Some of them are saying, "I got suckered into this by hypsters and it will never be worth anything. Let me sell into ANY strength to get back at least a small portion of what I sunk into it." When I announced my buy order and price today, it gave someone an opportunity to sell without the bottom falling out. My whole order filled and someone is breathing easier because of it, while I'm nervous and scared. Some "watchers" on the thread call penny stocks gambles, no way related to investments. They take a position against the hypsters without doing real due diligence on the company. They think they are protecting the "herd of followers", when really they are doing an injustice to those who knowingly take the risk. I know that I do more due diligence than most investors, but even then, I have to take on faith some things related to this company. I have my favorite ways of valuing the company and if the price starts to get ahead of value, I won't buy any more shares right then. If the price spikes up, I will even sell some if I think the price will fall back so I can repurchase those shares. I believe that if management does the right things, the value will grow. I would consider the audited financials as a milestone and a benchmark. The price will find its level soon after those financials are released and that will establish the low range for the next 52 weeks if management does what they say they will do. Right now, I value the company at One Times revenue. That is why I consider it so important that the Danielle deals gets finalized. Revenue without Danielle is ~3MM+, divided by 16.5MM shares equals about .18 per share which is what I paid today. If Danielle completion is announced and the audited financials follow, my new value will start to move to ~10MM. Also, if the audited financials actually show earnings, I use a different method to value the company. How do you decide fair value?
Slim |
