Cyclone Power Technologies, Inc. (fka CYPW)

[BuddyWhazhizname]

I think the challenge is that this hooker has been around the block quite a few times already. A new shade of lipstick isn't going to cover the wrinkles.

A new outfit claiming a cure for cancer, or ebola, or starting marijuana shops or mining lithium or whatever else is in the news can generate buzz. Lots of traders will get in on the action.

CYPW, with 10 years of continuous broken promises and nothing to show after wasting $23 million on development will lead to profits only if enough new bagholders can be found. The trouble is, CYPW already has 5000 bagholders of record (OK, the SEC calls them "shareholders of record"), plus a lot more who got burned and got out.

So, challenge #1 is to find these new bagholders. How'd the November 23-26 campaign work out? Not so good? Now what?

Did you catch this in the 14-C?

? Authorize a reserve of 300% over the current conversion of shares at above-market price as required by the convertible debt holders.

The note holders are planning for the stock price to drop 2/3rds due to further dilution over the short term.

Did you also notice this:

Certain directors and executive officers of the Company may be issued shares provided in the Share Increase Amendment in return for the elimination of their debt to the Company and deferred salary.

Harry and Frankie are now planning to cash-out. And why not? Harry is 72 or 73. His invention doesn't work, and he's been tapping out on excuses. As Tom pointed out, Harry has sold licenses for his non-working technology in several different industries. Any potential (real) customer knows it's a scam. The market won't pay anything for the stock anymore.

The end is near. CYPW has no salable assets*. Lots of liabilities, though. No product to sell, and no more naive potential customers in any event. Harry's best bet is to sell as much new stock as he can before note holders get any to sell, take the cash and put CYPW into bankruptcy.

Maybe before Christmas, or maybe after.

Not to say that traders can't make money on this stock, it's just that the risk will be high and the potential reward will be small. Who holding the stock now doesn't want to get out?

And considering trading volume has been running in the several hundreds of dollars per day, a 30% price increase could lead to tens of dollars of profit before the price drops again.

* The assets are Harry's patents for things that don't and can't work. There's also "equipment", 90% of which is a land speed record car and a water speed record boat, both of which can only work with the non-existent Cyclone engine without major reconstruction. Leasehold improvements have all gone into Harry's building and can't be monetized. Inventory consists of parts for engines that don't work. Five cents on the dollar would be a phenomenally good return from this stuff.