Howard-
I think Gumtech uses the term "sublingual adsorption" and believe it has to do with absorption via the blood vessels in the mouth....Not only is it faster into the blood stream, but more effective as it is not neutralized by the stomach acids....or, that is my layman's understanding.....
As can be seen from the old thread, I have owned this stock for a couple years now and my patience is finally paying off. The promise of this company is extraordinary and possible uses are unimaginable... I have visited the plant and spent several hours with Gary Kehoe and his very capable officers....
Gary Kehoe is the key...He has great integrity and considerable knowledge and experience in his field....Noone knows gum better than he does...Few understand the business of neutraceuticals as well....His energy is considerable as well and he has a long term approach.
The company has had a few difficulties along the way....They hired a carnival barker to run things before turning it over to Gary and paid quite a price for that....(after a run in with Kern, I almost sold the stock, until I called the company and talked to Gary. I realized that the key man was Gary and not Kern.) They spurned Smithkline in order to someday compete with them in the nicotine gum business and had their heads handed to them when they tried to roll out the homeopathic "Cigarrest" product....But, for each setback they became stronger and when they named Gary as CEO I knew they were going to succeed and flourish.......
This company has great potential as well as current value....There are any number of products that may be more efficiently administered by gum than just about anything.... (Inhale may also prove to be a worthy competitor...)
Gum has found it necessary, after an unfair fight with Smithkline, to bank on private label business until cash flow allows room for advertisement of their own products........It would seem only a matter of time before a fortune 500 company signs on to jointly develop products and take advantage of GUMM's research and manufacturing capacity....At that point sales will explode and cash flow will provide seed money to improve product mixture resulting in improved profit margins....
I am in no hurry for Watson or anyone else to buy them out....I believe that time would result in greater potential than a $30-35 price target. But, I must admit, if they are bought out, my complaint would be muted all the way to the bank.....
:o))
Mike |
