My only prediction is that this is going right back to a dime. I try never to bet based on my 'feelings' about a company or it's potential, so I'm shaking my head as to why folks aren't seeing what's right there before them. I'll post a simple chart at the end here, but just on the simple chart, there are 5 sell signals going off. That aside consider:
1. No change to the Authorized or Preferreds after the RS. Why not? 2. 8K telling you there's more dilution ahead- convertible notes still a current factor. the trading is confirming that:
As a result of the Reverse Stock Split, every thirty five (35) shares of the Company’s issued and outstanding common stock, par value $0.0001 was converted into one (1) share of common stock, par value $0.0001 reducing the number of issued and outstanding shares of the Company’s common stock from approximately 114.2 million to approximately 3.3 million.
So 66% of a 3.3 mil float traded yesterday and it ended down at the LOD? Really?...and that's on top of the entire float trading the day before. Math not adding up...IMO, dilution started day of the RS.
3. Why release the 8K in the AH on a Friday? Reason- Fewer people watching. 8K is telling you they needed a deferment in that pre-payment. Folks thinking the Note Holders just 'volunteered' to defer that pre-payment installment for a month? Really? The entire group? Maybe my mortgage companies will just independently call me, as a group, and say 'We've decided you don't have to make this month's payment until next month'.
I can't tell folks what to do with their own money and which companies to feel 'rah rah' about, but I will say that the company is being (somewhat) transparent about the dilution that lies ahead. They're just not sticking it in your face by releasing that 8k when they did and playing with the wording of it so that it doesn't sound 'onerous'.
This is one play I can honestly say I'll be loading the boat on...just not to the long side. GL here peoples. Keep and eye on the directional volume.
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