Michael, I first bought Valence a year and a half ago when Red Chip Review put out a speculative buy when the price was about $10. Valence had told Red Chip that commercial production was set to begin in the 1st quarter of 98. Red Chip and my timing was bad, because while the company never announced they had any problems with production, the price tanked to below $5 and the previous CEO was sacked. Red Chip closed their coverage with a sell recommendation in March 98.
While the price was tanking, certain posters on this thread were claiming over and over again their "inside sources" were telling them production was still on track for first quarter '98. In fact, the company finally acknowledged in August '98 that the production line was undergoing a complete redesign. These "inside sources" claimed while Valence was running out of money that financing was "not an issue" and that Valence would be able to secure favorable financing from any number of sources. In fact the financing Valence did secure was preferred stock with a floorless variable rate conversion feature. These "inside sources" have never failed to claim that production from VLNC is imminent.
As an example of the above, I refer you to the following post.
Message 7108850
After the stock tanked, I managed to make most of my money back when the stock price spiked just before a couple of conference calls in early 98. Since then, I've traded the stock a few times.
The track record of the "inside knowledge" on this thread has been nothing short of pathetic. Yet the person who continues to spew this crap (albeit at a reduced rate, lately) is revered on this thread. Anybody who dares to question the hype is insulted and ridiculed by certain of the VLNC crowd (see the previous post by Mr. Johnson, who is incapable of saying anything but VLNC is the greatest investment ever, and anybody who says different is a maggot).
My purpose here is very simple. When I see crap being being shoveled, I call a turd a turd.
What does all this have to do with VLNC and its prospects? Nothing. The company might become a hell of a investment, I don't know. I would simply suggest you educate yourself by reading the SEC filings, and take what is said on this thread with a big grain of salt.
Good luck. |
