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Technology Stocks : ACII - AmeriChip International, Inc. -- Ignore unavailable to you. Want to Upgrade?


To: Topannuity who wrote (2983)12/20/2006 10:18:55 AM
From: rrufff  Read Replies (1) | Respond to of 4616
 
I agree and have the same concerns. I've expressed them for a long time. The key is we don't know if the rate of dilution will be slowed, whether it will be for enhanced business or merely for "benefits," and we don't know how well the business expands at this point.

The dilution is one aspect of an equation. Increasing the authorized share count means future dilution. And it probably helped with the selling at this point.

The point I was trying to make was that merely increasing authorized share count does not automatically mean shares are, at that point, being issued and sold. A/S is a legal term and, otherwise, not important in valuation metrics.

One has to look forward and make the tough decisions and make best guesstimates for the rest of the equation.