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I don't want to overreact here, with regard to the strange after hours share pricing impacting a bunch of OTC companies over the past couple of days (such as GRCU). But it definitely has me concerned.
Since the online brokers appear to be in agreement on those erratic after hours prices (as evidenced by people reporting back the closing prices in their after-hours portfolio), it would appear that the central feed of OTC pricing is being altered for a subset of the stocks.
Again, I do not want to overreact here, but imagine what would happen to the banking system if individuals could not rely upon their available balance. Would it surprise any if there was a mini-run on the banks, should such a phenomenon occur.
Some of you may recall a number of days, in the recent past, were there were 'technical' issues causing a suspension of OTC trading. I seem to recall that on one particular day, trading was halted for nearly the entire day.
In this electronic world, we have to be able to rely upon the numerical information supplied to us. For without that confidence, we have nothing. I really hope that there are some talented folks working to determine the cause(s) of these OTC pricing issues, before it results in some real damage to trader/investor confidence.
As always, simply my opinion.
GRCU
Sometimes, with pink sheet stocks, it is more about the lack of selling than about the magnitude of buying that is a telling sign of things to come.
On Friday, there was no selling interest for BTZO at .0001. And today, while the bid has been sitting at .0001 most of the day, a grand total of 850 shares has been sold into that .0001 bid (representing a tiny fraction of 1% of the trading volume thus far today).
Since holders of any OTC stock trading in the low triple zero range are among the most uneasy of shareholders (when it comes to holding on to the position), I think it makes a big statement about the chances of BTZO going much higher that the interest to sell into the .0001 bid is next to nothing. Especially after coming up from a no bid status just days ago.
As always, simply my opinion.
BTZO
No problem... questions are always welcome. Socrates, widely considered one of the most important figures in the birth of philosophy, focused much of his time and effort on asking questions (which was coined 'The Socratic Method'). The only ignorant question is the one which remains unasked.
BTW, I think Socrates would have appreciated StreamTrack's products, since the people of ancient Greece had a lot of spare time - lol.
Odessa, thanks-I will ask my experts to check it out. Sorry if I am being a pest with my ignorance-appreciate your info.
Clearly the biggest difference is one of scale. Pandora is a $4 billion company, with nearly 1000x the number of registered users, and quarterly revenue approaching a quarter of a billion dollars, whereas StreamTrack is just beginning to emerge.
I wish I could be helpful with respect to the functionality and listener experience differences between Pandora and StreakTrack. But since I do not listen to internet radio in the home (or in the car), I will leave it up to others here to speak to those differences.
Since you mentioned that you have at least one family member that is a listener to Pandora, my suggestion would be that you have them try out what StreamTrack has to offer and then ask for their honest feedback.
Odessa, as I am new to all this technology, my family is not. I have heard them talk of Pandora, and even running Pandora to their TV (my daughter in Montana with no cable). So how is STTK similar-different from Pandora? TIA. Again, am learning a lot from your posts.
•••>StreamTrack's RadioLoyalty offering is quite impressive. Here's what led me to that conclusion:
On the surface, the user is presented with a wide selection of content categories (i.e. Classical, Rock, Top40, Country, etc). But dig a little deeper, and one will find a wide selection of sub-categories.
For example, within the 'Country' category is Americana, Bluegrass, Classic Country, Cowboy, Hit Country and Honky Tonk. Similarly, within the 'Jazz and Blues' category, one will find many choices, including Big Band, Blues, Jazz, Modern Jazz, and Smooth Jazz.
They have also provided an ample offering for those of hispanic descent; the 'Mexico' category offers the following sub-categories: Espanol, Latin, Ranchera, Regional Mexican, Romantica, and Tejano. Which is just plain smart business, since the hispanic population represents a sizable potential listening audience - more than 50 million in the U.S. alone (and growing).
Within many of these sub-categories is a long list of individual stations. For example, here are some of the stations within the 'Latin' sub-category of the 'Mexico' category:
I'm not sure how many are familiar with the expression 'show horses vs. work horses'. But from what I can tell StreamTrack (STTK) is definitely a work horse. And while the products/services of many OTC companies are properly characterized as 'a whole lot of sizzle and no steak', STTK not only provides the sizzle, but they deliver the prime cut filet as well.
And here's one other thing to consider. Devices such as Google's chromecast have expanded the potential listener market for operators in the radio internet space such as STTK (StreamTrack), as has the ever-growing base of smart TVs out there. StreamTrack (STTK) may very well be the right company, at the right moment in time, to capture lightning in a bottle.
As always, simply my opinion.
STTK
•••>Shareholder-friendly financing... nicely done STTK
(and in all probability much of which will be used to retire the pre-existing toxic debt)
Here are several positives regarding the terms of the $3 million Series C Preferred share funding arrangement:
As has been pointed out, one positive is that the typical discount of 20% to 50% does not apply here, if/when conversions stemming from the (up to) $3 million in funding occur.
But there are a number of other positives with respect to the terms:
-Conversion price will be based upon the closing share price. I've seen conversion terms based upon the closing 'bid', or even worse, the trading low of the day. Since there's about a 50 percent chance of the stock closing at the ask, computing a conversion calc on the closing price increases the odds of a more favorable conversion value for the other shareholders.
-Conversion price will be based upon a 10 trading-day average. I've often seen conversion terms where the calc only considers the lowest X (3 or 5, for example) days within the period of measurement. By including all days within the 10 day period for purposes of any conversion calculation, it increases the odds of a more favorable conversion value for the other shareholders, since any up days within the full period will be factored in.
All in all, it seems as though the stated terms for the potential financing covered in today's after-the-bell 8-k are shareholder friendly. As always, simply my opinion.
'Each share of Series C Preferred Stock is convertible into $150 in fair market value of the Company’s common stock, which fair market value will be equal to the average closing price of the common stock on the over-the-counter market during the 10 trading days immediately prior to the delivery to the Company of a conversion notice'
STTK
To be perfectly candid, I would be surprised if Howard ever left satellite radio. I know he has publicly expressed interest is doing so, but I consider it more of a negotiating stance than a real intent on his part. And even if he did leave Sirius, I don't think they would see any sort of significant subscriber loss. And I believe that is so because there's a great deal of other content to enjoy, and within the car, satellite radio is still the most convenient delivery platform audio entertainment. Their professional sports broadcasting contracts alone are reason enough for most subscribers to remain loyal.
But the great thing here for StreamTrack is that this it is not a zero sum game (meaning that one does not have to avoid StreamTrack just because they are a satellite radio subscriber; there is no incremental cost to use both). So just an a television viewer does not have to avoid traditional free broadcast television networks (NBC, ABC, CBS, FOX) because they pay for Cable TV networks, one does not have to avoid free StreamTrack radio stations because they pay for satellite radio.
Addtionally, StreamTrack might be the perfect in-the-home alternative for the Sirius subscriber that does not want to pay extra per month to add the Sirius internet radio option to their normal Sirius car-based subscription.
As always, simply my opinion.
Odessa, so what you are saying is the main difference between Sirius and StreamTrack is the talk tier feature of Sirius. So if Howard retires soon, which he has talked about, then Sirius is relatively in STTK's category, with the exception of it costing $15 per month whereas STTK is free, and generates its income from adds, and passes along freebies to listeners. If that assumption is correct, I like our chances.
Some comparisons between StreamTrack and Sirius, and a sea change within the radio broadcast industry...
I'd like to begin by stating that I'm not here to minimize the success of Sirius, as I happen to be a long-time and loyal shareholder. As a matter of fact, when they were deep in debt and on the verge of bankruptcy (in early 2009), I accumulated a substantial holding below a dime a share. It has turned out to be one of my best investments ever, and has turned out to be a great turn-around story as well. Sirius (although demonstrating improving metrics) was deeply in debt (and nearing bankruptcy) before their massive turnaround. StreamTrack, based upon the balance sheet, is similarly experiencing significant financial challenges as they seek to accelerate their registered listener growth rate.
Here's an interesting fact that many are not aware of. In 2004, Sirius only had about 700 thousand total subscribers (about 5x of StreamTrack's registered users). In that same year, they signed legendary broadcaster Howard Stern (which some characterized as an act of desperation, others as an act of genius). As a result, in the next 24 months, they grew their subscriber base to about 6 million (from 700k two years earlier). And now there total subscriber count is nearing 30 million. So a one-time almost defunct company, is now worth nearly $20 billion. And while Howard undoubtedly had alot to do with bringing on many of those subscribers, I believe that the vast majority were a direct result of the traction that satellite radio has obtained, as a widely accepted broadcast medium.
Similarly, Pandora has seen a growth of their registered users from about 10 million to more than 80 million from early 2009 to late 2011. This would seem to indicate that internet radio has been gaining traction and growing in a similar trajectory to satellite radio.
So how does all of this relate to StreamTrack? Clearly, with only about 147 thousand registered members, StreamTrack has a very long way to go. But as with the examples above, the numbers can begin to grow exponentially in a heartbeat. I refer in particular to the subscriber growth that Sirius experienced (from 700k to more than 6 million, in a period of about 2 years) that I mentioned above.
One of the things I think StreamTrack has in their favor is more than 5,000 radio stations to choose from (and growing weekly), whereas offerings like Sirius have less than 200 channels. Obviously the quality of the content is not equal (Sirius has whole lot of top-tier talk talent), but that can change with time. Just look at how the podcast space has grown to see that there has been a migration from traditional over-the-airwaves delivery to internet delivery.
And one other thing to consider - offerings such as those from StreamTrack have the advantage that unlike Sirius, which costs the average user about $15 per month, StreamTrack is absolutely free to the user.
It wouldn't surprise me if when StreamTrack reports the results of their most recent quarter ended Nov '13 (expected to be released within the next couple of weeks), we see a significant growth in their user base, along with a corresponding increase in their total revenue.
As always, simply my opinion.
STTK
Correct Romans623. On any given day, an OTC company can trade for one hundredth of what a reasonable businessperson would assign as a value, or one hundred times that same assigned enterprise value.
As evidence of that, I witnessed another OTC company in the same industry as GRCU (MDB_) move from a low of .0287 to a high of more than $200 per share within a 52 week period. Should GRCU ever make a move like that, it would be the equivalent of being propelled for the current pps to more than $20 per share.
Before some question my sanity here, I understand that the chances of that ever occurring would be some tiny fractional piece of one percent. But to say that it is not possible, would be ignoring the fact that such a move has already been proven possible, within the same industry.
And understanding that the price per share for any stock is simply determined each and every moment by supply and demand, all that it would take for a monster move in GRCU's pps would be the following. Those currently holding it would need to decide that they are not willing to part with their shares, and one potential buyer would need to show up and be willing to pay market for the shares they are hoping to procure.
As always, simply my opinion.
This is a penny stock it can run to 2 dollars. Market cap often doesn't matter with these stocks. We are going to have a great year at GRCU
There's another important outside resource I would suggest you spend some time reading, if you are not already doing so. Often times, much useful info can be found within the pages of a company's periodic financial and disclosure reporting.
I used to be bewildered at the downward movement of some OTC stocks, asking myself who in the world would be selling shares at those low prices. After much frustration, I began to study the arrangements that many of these OTC companies had with their (toxic) lenders, which provided their primary source of funding. After seeing the deep discounts (to current market price) that some of these toxic lenders were getting their shares for, it made perfect sense who could be selling so many shares at those low prices, and could also explain the timing of those sells.
Since most of those lenders had no intent to hold shares of that OTC company, but simply wanted a nice return on their initial investment (the money they loaned in return for convertible notes), they were usually more than happy to dump those shares into the 'bid', because their cost basis on those shares was much lower (even when the shares were currently trading at an all-time low). This is one of the reasons why I focused, in prior posts, on the conversion terms of STTK's Series C preferred shares.
Hope this info is helpful.
Odessa, I do some of what you recommended, just not to the extent you do. Is that being lazy? maybe, but I am not born of the computer generation and some things still come hard for me. Thanks. Junebug
The compliment is much appreciated, junebug3211.
But I do have one recommendation. While taking in all posted info can be useful, there's no substitute for independent, outside research which you can perform personally (such as trying out the products/services of the company, searching the internet for feedback from other customers, reading articles in trade journals, etc). Best of luck to you.
Odessa99, Really enjoy your posts. A lot of smart guys (and gals) here, but yours are special. You appear to know what you are saying and I am encouraged by your DD and knowledge. Me, on the other hand, although not a complete idiot, simply try to formulate an opinion based on a consensus of posts, so please keep'em coming.
Holy Cow. I almost fell out of my high chair when I read the long list of improving operational and financial metrics in CY2014 for StreamTrack (STTK), as detailed below.
The following is a summary of 2014 achievements:
•••>12.3 cents revenue per listening hour in fiscal 2014 compared to 7.8 cents in fiscal 2013, a year over year increase of over 50%.
•••>147,617 registered members as of 8/31/14 compared to 124,953 registered members as of 8/31/13, a year over year increase of over 18%.
•••>Streaming related gross revenue of $1,636,383 in fiscal 2014 compared to $900,405 in fiscal 2013, a year over year increase of over 80%.
•••>Cost of revenue of $1,260,166 in fiscal 2014 compared to $1,703,353 in fiscal 2013, a decrease of over 26%.
•••>Operating expenses of 1,127,711 in fiscal 2014 compared to 2,431,758 in fiscal 2013, a decrease of over 54%.
•••>A net loss of $1,161,062 in fiscal 2014 compared to $2,610,279 in fiscal 2013, an improvement of $1,449,217.
•••>Over 470 million songs played as of 8/31/2014 since Radioloyalty’s commercial launch in May 2011.
•••>Over 7.3 million song "likes" shared through social media as of 8/31/2014.
•••>The very model of shareholder-friendly financing...
(and in all probability much of which will be used to retire the pre-existing toxic debt)
Here are several positives regarding the terms of the $3 million Series C Preferred share funding arrangement:
As has been pointed out, one positive is that the typical discount of 20% to 50% does not apply here, if/when conversions stemming from the (up to) $3 million in funding occur.
But there are a number of other positives with respect to the terms:
-Conversion price will be based upon the closing share price. I've seen conversion terms based upon the closing 'bid', or even worse, the trading low of the day. Since there's about a 50 percent chance of the stock closing at the ask, computing a conversion calc on the closing price increases the odds of a more favorable conversion value for the other shareholders.
-Conversion price will be based upon a 10 trading-day average. I've often seen conversion terms where the calc only considers the lowest X (3 or 5, for example) days within the period of measurement. By including all days within the 10 day period for purposes of any conversion calculation, it increases the odds of a more favorable conversion value for the other shareholders, since any up days within the full period will be factored in.
All in all, it seems as though the stated terms for the potential financing covered in today's after-the-bell 8-k are shareholder friendly. As always, simply my opinion.
'Each share of Series C Preferred Stock is convertible into $150 in fair market value of the Company’s common stock, which fair market value will be equal to the average closing price of the common stock on the over-the-counter market during the 10 trading days immediately prior to the delivery to the Company of a conversion notice'
STTK
•••>StreamTrack's RadioLoyalty offering is quite impressive. Here's what led me to that conclusion:
On the surface, the user is presented with a wide selection of content categories (i.e. Classical, Rock, Top40, Country, etc). But dig a little deeper, and one will find a wide selection of sub-categories.
For example, within the 'Country' category is Americana, Bluegrass, Classic Country, Cowboy, Hit Country and Honky Tonk. Similarly, within the 'Jazz and Blues' category, one will find many choices, including Big Band, Blues, Jazz, Modern Jazz, and Smooth Jazz.
They have also provided an ample offering for those of hispanic descent; the 'Mexico' category offers the following sub-categories: Espanol, Latin, Ranchera, Regional Mexican, Romantica, and Tejano. Which is just plain smart business, since the hispanic population represents a sizable potential listening audience - more than 50 million in the U.S. alone (and growing).
Within many of these sub-categories is a long list of individual stations. For example, here are some of the stations within the 'Latin' sub-category of the 'Mexico' category:
I'm not sure how many are familiar with the expression 'show horses vs. work horses'. But from what I can tell StreamTrack (STTK) is definitely a work horse. And while the products/services of many OTC companies are properly characterized as 'a whole lot of sizzle and no steak', STTK not only provides the sizzle, but they deliver the prime cut filet as well.
And here's one other thing to consider. Devices such as Google's chromecast have expanded the potential listener market for operators in the radio internet space such as STTK (StreamTrack), as has the ever-growing base of smart TVs out there. StreamTrack (STTK) may very well be the right company, at the right moment in time, to capture lightning in a bottle.
As always, simply my opinion.
STTK
This is quite impressive, HeardingFootSteps. Especially considering that it was delivered by an OTC company. Now it is making more sense why the recent operational and financial metrics for STTK have been improving significantly.
Integration with Opera Software's Admarvel Advertising Platform with ad serving technology supporting display and rich media including video
-A completely redesigned interface
-Navigational pages including: about, now playing, stations, search, favorite and my account
-Greater flexibility to support multiple stream formats including AAC+ and MP3
-Support for multiple bit rate streams including 64K and 128K
-Increased functional stability resulting in better user experience
-Improved audio quality
Michael Hill, CEO of StreamTrack, said, "In addition to superior listener experience from the optimized interface and larger station display, we have implemented a key step in our plan of greater mobile monetization of our listener base. We looked at multiple options in evaluating the best advertising platform, and Opera Software was the clear winner. Its technology is impressive and its AdMarvel platform is being utilized by some of the top brands in the world including CBS, the Discovery Channel, Pandora and T-Mobile. We plan to release the new iOs App over the next week and we look forward to rapid mobile growth in listeners and revenue."
•••>The very model of shareholder-friendly financing...
(and in all probability much of which will be used to retire the pre-existing toxic debt)
Here are several positives regarding the terms of the $3 million Series C Preferred share funding arrangement:
As has been pointed out, one positive is that the typical discount of 20% to 50% does not apply here, if/when conversions stemming from the (up to) $3 million in funding occur.
But there are a number of other positives with respect to the terms:
-Conversion price will be based upon the closing share price. I've seen conversion terms based upon the closing 'bid', or even worse, the trading low of the day. Since there's about a 50 percent chance of the stock closing at the ask, computing a conversion calc on the closing price increases the odds of a more favorable conversion value for the other shareholders.
-Conversion price will be based upon a 10 trading-day average. I've often seen conversion terms where the calc only considers the lowest X (3 or 5, for example) days within the period of measurement. By including all days within the 10 day period for purposes of any conversion calculation, it increases the odds of a more favorable conversion value for the other shareholders, since any up days within the full period will be factored in.
All in all, it seems as though the stated terms for the potential financing covered in today's after-the-bell 8-k are shareholder friendly. As always, simply my opinion.
'Each share of Series C Preferred Stock is convertible into $150 in fair market value of the Company’s common stock, which fair market value will be equal to the average closing price of the common stock on the over-the-counter market during the 10 trading days immediately prior to the delivery to the Company of a conversion notice'
STTK
•••>StreamTrack's RadioLoyalty offering is quite impressive. Here's what led me to that conclusion:
On the surface, the user is presented with a wide selection of content categories (i.e. Classical, Rock, Top40, Country, etc). But dig a little deeper, and one will find a wide selection of sub-categories.
For example, within the 'Country' category is Americana, Bluegrass, Classic Country, Cowboy, Hit Country and Honky Tonk. Similarly, within the 'Jazz and Blues' category, one will find many choices, including Big Band, Blues, Jazz, Modern Jazz, and Smooth Jazz.
They have also provided an ample offering for those of hispanic descent; the 'Mexico' category offers the following sub-categories: Espanol, Latin, Ranchera, Regional Mexican, Romantica, and Tejano. Which is just plain smart business, since the hispanic population represents a sizable potential listening audience - more than 50 million in the U.S. alone (and growing).
Within many of these sub-categories is a long list of individual stations. For example, here are some of the stations within the 'Latin' sub-category of the 'Mexico' category:
I'm not sure how many are familiar with the expression 'show horses vs. work horses'. But from what I can tell StreamTrack (STTK) is definitely a work horse. And while the products/services of many OTC companies are properly characterized as 'a whole lot of sizzle and no steak', STTK not only provides the sizzle, but they deliver the prime cut filet as well.
And here's one other thing to consider. Devices such as Google's chromecast have expanded the potential listener market for operators in the radio internet space such as STTK (StreamTrack), as has the ever-growing base of smart TVs out there. StreamTrack (STTK) may very well be the right company, at the right moment in time, to capture lightning in a bottle.
As always, simply my opinion.
STTK
I'd like to wish everyone here a Happy and Healthy (and profitable) New Year.
STTK
People now holding onto BTZO with a Kung-Foo grip. From what I can tell from my L2's history, less than 1 million BTZO shares traded at .0001 today, while nearly 170 million have traded at .0002.
And now the bid support stands like the rock of gibraltar at nearly one quarter of a billion shares (243 mil). This could run fast and hard at any moment.
As always, simply my opinion.
BTZO
Good point, FunGuns09. The $3 million simply represents funding capacity, and once their business model is proven successful (which would seem well underway based upon all of the positive financial metrics the company released recently), STTK may not need to tap into much of that funding capacity.
As always, simply my opinion.
OR
The PPS would have to increase. Just depends on the viewpoint of the reader. Also to note never said anything about it all being converted at one time.
Your reading of the 8-k was correct, Trth4Sail. Here's what I had posted yesterday evening to break down the details:
And here are several positives regarding the terms of the $3 million Series C Preferred share funding arrangement...
As has been pointed out, one positive is that the typical discount of 20% to 50% does not apply here, if/when conversions stemming from the (up to) $3 million in funding occur.
But there are a number of other positives with respect to the terms:
-Conversion price will be based upon the closing share price. I've seen conversion terms based upon the closing 'bid', or even worse, the trading low of the day. Since there's about a 50 percent chance of the stock closing at the ask, computing a conversion calc on the closing price increases the odds of a more favorable conversion value for the other shareholders.
-Conversion price will be based upon a 10 trading-day average. I've often seen conversion terms where the calc only considers the lowest X (3 or 5, for example) days within the period of measurement. By including all days within the 10 day period for purposes of any conversion calculation, it increases the odds of a more favorable conversion value for the other shareholders, since any up days within the full period will be factored in.
All in all, it seems as though the stated terms for the potential financing covered in today's after-the-bell 8-k are shareholder friendly. As always, simply my opinion.
'Each share of Series C Preferred Stock is convertible into $150 in fair market value of the Company’s common stock, which fair market value will be equal to the average closing price of the common stock on the over-the-counter market during the 10 trading days immediately prior to the delivery to the Company of a conversion notice'
Was the financing here at 100% of average 10 day.....?
No discount to market?
Did I read that correctly here or did someone feel confident enough to hand them $3 million for either even money or they feel it's going to increase in value and liquidity?
Just curious.
Thank you very much for your effort, Elcappy1 (and I've returned the favor). I think STTK is going to explode upward.
It's gonna be fun ;) STTK
Much thanks, love your neighbor. STTK has alot going for it, and I honestly think the share price could explode upward.
Stickied
There's only four stickies at the top of the board, so I'm assuming that there are two unoccupied spots. Could you suggest that one of the mods stickie that post in one of the available slots?
This is HUGE Odessa99! STTK
StreamTrack and Google have something in common... monetization expansion.
In the late 1990s, Google was born and began to capture market share from the already established search engines and search directory services (Yahoo!, AltaVista, Looksmart, Lycos, etc). But even after Google had captured a significant percent of the total search volume, they had heap of eyeballs but relatively little revenue. And as we know from the dotcom bust of the 90s, eyeballs without 'monetization' is a sure recipe for failure.
Wall Street uses the term 'monetization' as a fancy way of saying 'figuring out a way to generate significant revenue' from the activities of a corporation. It was Google's monetization of the search eyeballs via Google adwords and the resulting 'sponsored ads' that has driven the investment community to assign Google a value of more than one-third of a trillion dollars (> $350 billion market cap).
In some ways, internet radio has created a similar opportunity. And here's what I mean by that. In the days where radio was simply an audio medium, monetization could only be achieved though audio commercials. By StreamTrack allowing for an additional source of monetization via visual sponsored ads (and various interactive elements), it has added additional dimensions to revenue generation.
In addition to the video ads, StreamTrack offers various ways for the listener/user to interact with the application, providing the listener with an opportunity to earn additional points while listening to the radio station(s).
As we know, more and more TV programs are becoming interactive (incorporating twitter feeds and real-time questions/surveys) during the broadcast. Doesn't that sort of validate StreamTrack's interactive approach to monetization.
It would not surprise me if we saw a huge run here. As always, simply my opinion.
And here are several positives regarding the terms of the $3 million Series C Preferred share funding arrangement...
As has been pointed out, one positive is that the typical discount of 20% to 50% does not apply here, if/when conversions stemming from the (up to) $3 million in funding occur.
But there are a number of other positives with respect to the terms:
-Conversion price will be based upon the closing share price. I've seen conversion terms based upon the closing 'bid', or even worse, the trading low of the day. Since there's about a 50 percent chance of the stock closing at the ask, computing a conversion calc on the closing price increases the odds of a more favorable conversion value for the other shareholders.
-Conversion price will be based upon a 10 trading-day average. I've often seen conversion terms where the calc only considers the lowest X (3 or 5, for example) days within the period of measurement. By including all days within the 10 day period for purposes of any conversion calculation, it increases the odds of a more favorable conversion value for the other shareholders, since any up days within the full period will be factored in.
All in all, it seems as though the stated terms for the potential financing covered in today's after-the-bell 8-k are shareholder friendly. As always, simply my opinion.
'Each share of Series C Preferred Stock is convertible into $150 in fair market value of the Company’s common stock, which fair market value will be equal to the average closing price of the common stock on the over-the-counter market during the 10 trading days immediately prior to the delivery to the Company of a conversion notice'
STTK
Thanks, Killer Whale. I am curious about the intended use for the funding as well. Perhaps it would be used to button things up to make them an attractive acquisition target to a bigger player within the broadcast space.
That could provide an excellent exit strategy for sr mgmt, as well as us shareholders.
Excellent post. My curiosity is what will the funding be used for going to get interesting in the month of January.
Several positives regarding the terms of the $3.million Series C Preferred share funding arrangement...
As has been pointed out, one positive is that the typical discount of 20% to 50% does not apply here, if/when conversions stemming from the (up to) $3 million in funding occur.
But there are a number of other positives with respect to the terms:
-Conversion price will be based upon the closing share price. I've seen conversion terms based upon the closing 'bid', or even worse, the trading low of the day. Since there's about a 50 percent chance of the stock closing at the ask, computing a conversion calc on the closing price increases the odds of a more favorable conversion value for the other shareholders.
-Conversion price will be based upon a 10 trading-day average. I've often seen conversion terms where the calc only considers the lowest X (3 or 5, for example) days within the period of measurement. By including all days within the 10 day period for purposes of any conversion calculation, it increases the odds of a more favorable conversion value for the other shareholders, since any up days within the full period will be factored in.
All in all, it seems as though the stated terms for the potential financing covered in today's after-the-bell 8-k are shareholder friendly. As always, simply my opinion.
'Each share of Series C Preferred Stock is convertible into $150 in fair market value of the Company’s common stock, which fair market value will be equal to the average closing price of the common stock on the over-the-counter market during the 10 trading days immediately prior to the delivery to the Company of a conversion notice'
STTK
The phenomenon of deflation, and how it relates to GRCU...
As many know, Japan's economy has been in a deflationary cycle for quite some time. Deflation is defined as a general decrease in the level of prices for goods and services over a period of time.
So an obvious question is how can this be a bad thing, if purchasing power continues to go up as prices continue to descend. Doesn't this create an excellent opportunity for those with money and the intent to buy. The short answer is yes and no. Because when prices have been deflating (declining) for some period of time, the logical expectation is that they will continue on that path for some time. And if that is the case, then postponing a purchase results in additional reward, since purchasing power continues to go up with time. The end result is a sort of buying paralysis, which creates a severe drag on economic activity.
A similar phenomenon is experienced in a stock that has been in a prolonged downward trend (deflationary period), such as GRCU. As long as the downtrend continues, those with an intent to own shares in the future experience a greater reward, the longer they postpone their share purchase.
And with a stock, this deflationary phenomenon is even more powerful than with consumable goods and services. Take, for example, a television. Even if the price has been declining for an extended period of time, and is expected to do so into the foreseeable future, postponing the purchase in anticipation of future price declines means not getting to use that television for viewing enjoyment while waiting.
But with a stock, where the only enjoyment has to do with eventually selling for a higher price than was paid when it was bought, the buyer can conceivable wait forever, while watching their buying power increase as the stock price continues to decline. For this reason, the catalyst needed for genuine buying to resume is a perception that the stock price will no longer get cheaper. An expectation that the price is now on an inflationary path (rising price) provides the motivation for accelerated buying.
Due to the protracted deflationary trend for GRCU over the past nine months (since it peaked back in April), there is obviously no real sense of urgency now for those interested in owning GRCU (for the potentially bright future) to rush into buying. But I believe that the only catalyst required for GRCU to return to a nicely up-trending chart, is for the downward share price trend to stabilize.
As always, simply my opinion.
GRCU
Green Cures (GRCU) will deliver. The share price will return to the multipennies level in the coming days. And when it does, those that continued to believe in the promising future of this enterprise will be richly rewarded, especially those who have been fortunate enough to accumulate shares at the level it has been trading very recently.
As always, simply my opinion.
GRCU
*All images are for entertainment purposes only.
That's right. Figuring it out was like cracking some impenetrable safe lol.
Wishing all invested here (myself included) a profitable 2015.
LOL another great episode from Odessa. It appears you have figured out my patented algorithm
Something that StreamTrack has in common with Google...
In the late 1990s, Google was born and began to capture market share from the already established search engines and search directory services (Yahoo!, AltaVista, Looksmart, Lycos, etc). But even after Google had captured a significant percent of the total search volume, they had heap of eyeballs but relatively little revenue. And as we know from the dotcom bust of the 90s, eyeballs without 'monetization' is a sure recipe for failure.
Wall Street uses the term 'monetization' as a fancy way of saying 'figuring out a way to generate significant revenue' from the activities of a corporation. It was Google's monetization of the search eyeballs via Google adwords and the resulting 'sponsored ads' that has driven the investment community to assign Google a value of more than one-third of a trillion dollars (> $350 billion market cap).
In some ways, internet radio has created a similar opportunity. And here's what I mean by that. In the days where radio was simply an audio medium, monetization could only be achieved though audio commercials. By StreamTrack allowing for an additional source of monetization via visual sponsored ads (and various interactive elements), it has added additional dimensions to revenue generation.
In addition to the video ads, StreamTrack offers various ways for the listener/user to interact with the application, providing the listener with an opportunity to earn additional points while listening to the radio station(s).
As we know, more and more TV programs are becoming interactive (incorporating twitter feeds and real-time questions/surveys) during the broadcast. Doesn't that sort of validate StreamTrack's interactive approach to monetization.
It would not surprise me if we saw a huge run here. As always, simply my opinion.
STTK
Something that StreamTrack has in common with Google...
In the late 1990s, Google was born and began to capture market share from the already established search engines and search directory services (Yahoo!, AltaVista, Looksmart, Lycos, etc). But even after Google had captured a significant percent of the total search volume, they had heap of eyeballs but relatively little revenue. And as we know from the dotcom bust of the 90s, eyeballs without 'monetization' is a sure recipe for failure.
Wall Street uses the term 'monetization' as a fancy way of saying 'figuring out a way to generate significant revenue' from the activities of a corporation. It was Google's monetization of the search eyeballs via Google adwords and the resulting 'sponsored ads' that has driven the investment community to assign Google a value of more than one-third of a trillion dollars (> $350 billion market cap).
In some ways, internet radio has created a similar opportunity. And here's what I mean by that. In the days where radio was simply an audio medium, monetization could only be achieved though audio commercials. By StreamTrack allowing for an additional source of monetization via visual sponsored ads (and various interactive elements), it has added additional dimensions to revenue generation.
In addition to the video ads, StreamTrack offers various ways for the listener/user to interact with the application, providing the listener with an opportunity to earn additional points while listening to the radio station(s).
As we know, more and more TV programs are becoming interactive (incorporating twitter feeds and real-time questions/surveys) during the broadcast. Doesn't that sort of validate StreamTrack's interactive approach to monetization.
It would not surprise me if we saw a huge run here. As always, simply my opinion.
STTK
I must admit I'm a bit surprised by your sentiment expressed below. Here's what I am seeing on the chart below. On the past three trading days prior to today, we had three consecutive white candles, each of which had a higher low than the white candle the day before. During that three day sequence, we went from a low of .0037 on the first day to a close on the third day of .0053, an increase of 43%.
Today, we closed at .0049, which equates to a drop of 7.5% from the previous trading day's close. Additionally, today's trading low of .0042 was a higher low than each of the three previous trading sessions, which were all white 'bullish' candles (see chart below).
I can appreciate that the drop from the peak of .049 back in April has been a painful 9 months of drifting lower for longs. But to characterize today's trading as a destruction of the uptrend that began 3 trading sessions ago does not seem to be supported by the chart below. As always, simply my opinion.
I really can see .0025 now. This reversal to 55 and now back may have just destroyed the stock. Shareholders at .02 plus will wait and average down and then exit if it comes back. But no one is going to play this stock for awhile. Calkin and Cruz should be ashamed of themselves.
Rico Suave. LMAO. WHO CARES ANYMORE!!!