Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Microcap & Penny Stocks : TSIS: WHAT IS GOING ON? -- Ignore unavailable to you. Want to Upgrade?

To: kiwi who wrote (2609)	6/9/1998 11:21:00 PM
From: John S. Baker	Read Replies (1) \| Respond to of 6931

Kiwi, there is a plausible case to be made for not beating TSIS's drum right now. Here's how this line of pseudo-heresy goes.... The primary reason for a company to promote its stock is to raise the P/E or P/S or P/? ratio. That accomplishes two worthwhile things. One is to make it cheaper to obtain the next increment of additional capital, ie with the least amount of dilution. The second is so that founders and other early shareholders can get the maximum out of the sale of their shares, which originally were bought cheap (well, in the case of most companies, they were cheap -- not necessarily so with TSIS). Do either of these "needs" exist for TSIS? Quite possibly, the answer is "No". We'll know better once the financials come out, but it strikes me that TSIS just may be able to fund necessary growth from internally-generated cash flow. Why, just two weeks ago, people on this thread were speculating about stock buybacks as being the best way to get rid of all the excess cash <grin>. So, if additional capital is not necessary, then why worry about the stock ratios for the immediate future. And if the founders don't need to cash out right away, that removes the other possible crying-urgent need to jack up the ratios. Now, for the second part of this quiz, who can tell me the primary reason why TSIS might be strategically better off if they did not become real big, real quick? JSb.

To: kiwi who wrote (2609)	6/10/1998 9:00:00 AM
From: gregor	Respond to of 6931

Kiwi: For a BB company; they have been masterful in their PR, I applaude them for that. The management has always been straight up , that is the best thing about this company. They come through when they say they will. IMO they are building a solid stockholder base, I love it ! Meeting a few more minimum Nas requirements and in 2 years MAX. we are on the Nas. Meanwhile , just thank God the share price has not increased; I want to retire on this baby; I'm a buyer @ .50 .75 1.00 1.25 etc.