Has everyone lost their darn minds?!?!?
Below is my attempt to debunk all this garbage I am seeing in the last few days (I am a CPA/MBA and Finance VP in a mid-sized company):
1). New CEO: He was already Medical Director at POTN, the existing CEO went up to Board Chair...this is just a governance restructuring...no news there.
2). The evil Brother (of new CEO): New CEO was already a senior officer in the company...CEO's boss is the Board...old CEO is head of Board...what has changed? How can you think that CEO gets to run around willy-nilly with unchecked power? So if this fox has been in the hen-house all along with his evil brother in his ear, why is this now an issue?
3). Audit Firm: isn't this the same firm everyone was praising a few weeks ago?
4). Audit: Audits are an annual occurrence at the end of a fiscal year...no one gets one monthly or mid-year...they cost money and take time (several months). POTN went with this fly-by-night firm because they're a tiny company and can't afford the big guys. Their business is also probably quite simple to audit.
5). "Everything is sold out": No its not, there's a ton of inventory there...the company doesn't have the capacity to keep such a backlog of inventory that everything is always in stock. Also the "sold out" is good for this company as it gives the impression of high demand. Plus don't forget their product is a CBD Oil delivery system...whether "Watermelon Flavor" is in stock or not, demand is inelastic and people will just pick the next closest flavor because they want the CBD not the gummy bear.
6). "Why deep discounts": because they're trying to build brand loyalty and sales volume...They have a decent profit margin, do you really think it costs $20 to make a small bag of gummy bears? So they price up and use discounts to lure sales...it worked on me...I used 2 50% promos to buy $100 worth of product...I never would have spent $200 for the same thing, but I ended up buying more because it was on sale...and got some for a friend.
What the heck has changed in the last few days that we're down $.01??? Nothing! This same crew was just talking about "we're about to break out in a big way" and now we've got a few folks on here trying to rattle the group.
This same thing happened on the way to $.045 a few months ago...it was Charles Vacarro this and CV that and "oh this is a scam"...that all got real quiet when it went up...in the meantime the underlying business didn't change at all, just established a stronger sales record.