Correct me if I'm wrong, but assuming someone has a set amount to spend - say $1000 - and this stock increases in price, your net returns would be far better with the warrants.
My calculations done at .36 for the W, 1.03 for the stock and $32 for the P say that $1000 in warrants yields $4167 at MIDL = $2, $12,500 at $5, $26,388 at $10 and $54,166 at $20. The preferred converted into 52.5 shares yields $3281, $8203, $16,406 and $32,812 respectively.
Buying the straight stock sucks in comparison to either.
The .50 conversion would be paid at time of final sale, not now.
I see that the W is up to .43 and the P is down to $30, so this is all moot now, but I still think the warrants are the way to go.
The other GB |
