A last word on the mini-selloff. I do wonder how many existing shareholders have been holding on the way up. With many of them having such low floats and the turnover sometimes being 3 or 4 times the float in one day, you would have to think that alot of profit taking has already been experienced. I guess only time will tell
You are assuming ( I think) that I was referring to a BII mini selloff. That is not the case, I am saying a NASDAQ Internet selloff, that will proliferate a "mini-panic selloff" by some BII shareholders. The fundamentals of value will be thrown out momentarily...thats all, which gives an opportunity to buy on the dip.
Note remember US residents can selloff until close of the market. Apparently their sell chit is all that is needed for IRS and not like us a ...settlement date (Canada).
However, in a roll-back scenario, the company would not be trying to please the Canadian folks who feel rollbacks are a kiss of death. Management, in that scenario, would be trying to reward existing investors as well as allow it to raise more capital through a
financing deal on the NASDAQ.
Agreed. However I think you confuse "perception" with "reality". Perception is that a reverse split is bad, therefore when presented will (without good PR) present a good buying opportunity. If you own 300 shares and are about to sustain a 10 for 1 split, you will likelysell rather than hold onto an "odd lot". Again it is "perception" that creates the dip. The reality is the stock will be better off for it, but that is a "reality", which only sets in, after perception has done its temporary dirty deed!
All just a theory with may have nothing to do with reality...just thought I would mention it.
the Chief |
