NewMarket Technology (fka NWMT)

[eddy2]

None of these companies are profitable. They will draw all they can out for wages. So how do they work? They work on the line of credit and the requirement by law to pay interest on that line of credit set by industry at ten percent.


A line of credit is cash and has nothing to do with anything else. Cash on the world stage is set by interest in bond payments. Low interest low dollar value as this is revenue money by itself can generate plus any risk that is added in the case should it be lost.


So no equity no line of credit no value left for shareholders. Assets exceeds liability minus equity the stock is over valued if assets is less then that figure the stock is under valued the market cap takes into account outstanding shares owed above the authorized shares that is the line of credit equity stake holders have put into the line of credit the company has to draw on.


If the company does not use this line of credit there is no revenue generated for shareholders other then only interest on the income statement all other line of credit is shown under capital surplus and retained earnings.