full-time investing; total portfolio up over 130% in 2009; but 2010 sucks!
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Statement number 3 is really a strange comment.
3. The company and its concepts will structurally change as you know it today.
Concepts will change? That's really hard to interpret.
Maybe they forgot how important it was to wait for the end of the month or the end of the quarter?
Rainmaker, did you buy or sell today? With over 18million shares traded already today. it's obvious at least some regular posters on the SHOM board have been selling today, though all claim to be adding.
What can Mr. Sarvis do to prevent SHOM returning to the .001-.002 range?
From this point on, SHOM CEO Mr. Sarvis will NOT be able to put out any news releases on his own. You should expect that the signed agreement requires the new management to be in charge of what gets announced and when.
Are last week's cheerleaders this week's dumpers?
Closing off quarters (finishing the computations for revs, costs, etc.) takes at least a month after the end of the quarter. Once again, if a merger deal is put on the table, the company needs to announce it regardless of when the quarter ends.
? Go talk to Thing !
No, wait, I meant to say, "PLEASE STAY ON TOPIC OF SHOM".
End of SHOM's quarter means nothing. End of month means nothing.
Merger status has nothing to do with the moon, the sun, or the stars; It has only to do with the two parties coming together to negotiate a business deal. It could take months, and it could fall thru. Nobody knows who it is or what the final business arrangement will be, including SHOM and the other party. In fact, there is probably NO DEAL ON THE TABLE, or there would have had to be an official disclosure.
Good luck, but it will take time, whatever the deal may be.
'stockpeeker'
How many here are trading SHOM intraday?
Volume has been shrinking. Price has been flat for the last two weeks, so it's not looking like a good "trading stock" at this point in time. I do NOT treat it like a trading stock, just making the point that playing volatility may be too risky.
Another news snippet about merger discussions could help SHOM price (if as ambiguous as the last one) or hurt (if more merger clarity reduces expectations). Of course more clarity with outstanding news could also take it higher.
IMHO the biggest problem with small medical services companies like SHOM is they tend to be low margin at best, particularly since healthcare is a hot political issue. As a result healthcare regulations have been changing over time, and insurance reimbursements have been changing so much year to year, especially Medicare reimbursements (which often pertains to home healthcare and nursing home care).
ApneaRX is focused on servicing people with sleep apnea, which is probably a growing business, but the per unit revenue is low (machine rentals and filters, etc.). It's not a highly skilled service, and there are lots of companies that do this work, so it remains very cost competitive.
I remain very long SHOM, and I hope the merger works out great for everybody, but as an investor (who has been disappointed with SHOM before), IMHO there is a relatively low probability that there will be an amazing, overly generous merger agreement that makes SHOM shares go thru the roof (at least with the announcement of a merger).
That said, it would be great if SHOM does merge with another group to ensure faster growth in the future, followed by higher stock valuations.
'stockpeeker'
Unfortunately EncounterCare Solutions (ECSL) has healthcare services, but appears to be mostly focused on CYBERfuels and is also developing new technology for home health data monitorin using custom electronic devices (as in IoT: Internet of Things).
I have not dug into their latest financials to see how they have broken out their separate business lines or NOT. Have you?
Thanks in advance!
'stockpeeker'
IMHO our SHOM goes down next week, not up!
I remain long SHOM but believe it is headed for some selling pressure.
Has anyone spoken to Mr. Sarvis to gain any insight about whether the merger is intended to expand coverage geographically or just within South Carolina (plus Atlanta)?
I do appreciate malt's attempt to suggest another company in similar business has higher valuation per annual revenues.
You guys need to ease up a bit and allow for open discussion, rather than just keep posting the same old ....
Go SHOM, rah rah shish goom bah!
Power Hour starts ... WHEN????
Nobody here is really buying today. There are almost a million shares available from .0044-.0048
Buyers will take over a million shares off your hands at .0038 if anyone who bought in the last week wants out now that much of the excitement has worn off.
Malt66, good luck;
Maybe BONU will buy SHOM?
SHOM went up after 7 March because of the statement about announcement of a pending merger w/in 30 days. After that it went up over 300% on FUTURE expectations, not prior performance.
Of course the cabal of pumpers here also had something to do with the sharp rise.
___________________________________________________________________
IMHO several posters here use teamwork to steal your money. FBI can't help, as they are fighting terrorism elsewhere.
SHOM went from .001 to .005 on "future expectations" after 7 March news, so I'd say FUTURE EXPECTATIONS ARE BUILT IN at this point.
Also seeing a wide spread B/A (.0038-.0047) so you can buy at Ask, sell at Bid and lose 20% instantaneously.
HatRack wrong again unless new Buyers appear! Only 100K shares traded in 1st 20 mins is NOT a good sign.
I agree Progressive Care (RXMD) is not a perfect comparison for SHOM. Their Price/Sales ratio is only around 0.99, which is surprisingly low.
Business Summary
Progressive Care, Inc. through its wholly-owned subsidiary, PharmCo, LLC, is a provider of prescription pharmaceuticals specializing in the sale of anti-retroviral medications and related patient care management, the sale and rental of durable medical equipment (DME) and the supply of prescription medications and DME to nursing homes and assisted living facilities. The Company also provides long term care solutions to skilled nursing facilities (SNFs), assisted living facilities (ALFs), retirement centers and communities, doctors’ offices and clinics. The Company provides confidential prescription packaging that suits the individual patient’s needs and lifestyle. PharmCo provides purchasing, repackaging and dispensing of both prescription and non-prescription pharmaceutical products.
I'm not sure your evidence is as clear as you think. Over the last 5 days it is "unchanged". Most of the price move came in the first week.
The CEO's hinted "merger" comments such as "exponential" do make the SHOM $value/share unclear to anyone.
It would be easier (for me at least) if there were a few really comparable companies that could be compared against SHOM's particulars, but nobody has identified any thus far (unless I missed something). The article you referenced about some larger acquisitions did not include details other than the total price paid.
I remain very long SHOM (longterm), and hope it surprises me and makes it to the moon with Alice.
Regards,
'stockpeeker'
Appreciate your suggestion, but I do not understand your math to come up with $0.0112/share. Please clarify.
Thanks in advance,
'stockpeeker'
I appreciate the article on home health providers. Good article but didn't really give any indication of a reasonable premium to pay for a small company with revenues of only $1million/yr.
I've owned SHOM for over two years, and I wish it would go to the moon, but IMHO Alice will get to the moon before SHOM.
There has been a lot of unabated "pie in the sky" optimism since Mr. Sarvis put out his 7March comments which included the word "exponential", but I haven't seen anyone offer any reasonable comparisons or calculations that justify a value of $.01/share for SHOM shareholders. Have you?
Thanks in advance,
'stockpeeker'
You are entirely wrong on all counts.
I haven't seen anyone here offer a rationale for SHOM value per share since the stock skyrocketed 2 wks ago.
For value investors, "Pie in the sky" is not a rationale.
'stockpeeker'
What does Rainmaker predict will be the price per share paid to existing SHOM shareholders?
Of course there is a merger discussion going on, however, we just don't know how much is being paid per share, which is the point. There are some here predicting major increases from here. I just don't know how high a price is reasonable to expect.
What does Rainmaker predict will be the price/share paid to existing shareholders?
'stockpeeker'
On what do you base your Penny/sh prediction? A Penny/sh would amount to a total purchase price of almost $10million (based on 786million shares Common plus 20.5million of Preferred A and C).
OK, I'm honestly trying to be positive here, but $10million still seems pretty expensive for a company with only $1million in revenues and merely $60,000 annual profit.
Still there are other value factors that SHOM includes.
The value of SHOM seems to consist of at least 3 major components:
1. Approximately $.5million in assets,
2. A stable established slightly profitable business bringing in roughly $1million/yr in revenues with no debt.
3. The value of being an existing listed stock.
I'm not sure how much money it takes to get a company listed on a stock exchange, but I'm sure it takes lots of time and money to get listed and meet all requirements for audited financials. I'm just not sure how much that is worth. Of course they can change the name and symbol later.
There is also value to an acquirer if they are in the same business, thereby benefiting from economies of scale, and the combined business would allow cost cutting to improve profitability.
However, IMHO, the total value of SHOM still does not look like a penny a share to me. Of course most on this board do disagree with that.
'stockpeeker'
Share structure unchanged; that's good, however, there are already approximately 786million shares of Common, 10million of Preferred A, and 10.5million of Preferred C. Conversion rate for Preferred A and C shres to common is 10:1, thus the 20.5million Preferred A+C shares equate to about 205 million Common shares.
Thus, it appears any merger would have to buy out a heap of shares, particularly the equivalent of 786+205million=991million Common shares of SHOM common.
At $0.005/share that's about $4.46 million already. If it were to go to $0.01/share, that's about $9.91million.
If one looks at SHOM from a valuation perspective, the question is how much "Good Will" value might the acquirer be willing to pay (then write off on their income taxes).
'stockpeeker'
By the way, Columbia, SC is the only remaining franchisee that has not been bought out by SHOM. That is good news.
'stockpeeker'
Highly doubtful. Already up >300% since March 7 comments by CEO. Company already valued at over $4million with just $500,000 in assets, $1million in revenues, and $60,000 profit for a whole year.
Still seems fully valued to me, though it may go higher with positive news. There is also the possibility that a merger announcement may come out with a purchase price less than everybody here might think.
It may be that if the Atlanta franchisee is part of the deal, then that will help the bargain. It seems that if Atlanta business doesn't join the deal, that complicates and limits the value of the deal.
That said, if it can stay up here around $.005/share, it may help Mr. Sarvis in negotiations for a slightly higher price.
Anyway we all agree that we shall seeeeeee....
'stockpeeker'
ps> Don't need to be called a "basher" in response; all is JMHO!
How many share does CEO hold?
Anyone know?
Just thinking SHOM could even be getting acquired by their own Atlanta franchisee if he doesn't have enough control (percentage ownership).
Thanks for any data you can point me to.
'stockpeeker'
Why do so many think news comes Monday? It seems a little premature to me, as these things take time. I would think if a deal is almost reached there would be a Letter of Intent before a final deal is reached.
Nobody is buying heavily today. Volume peaked on the 11th following the news on the 7th. Price is up 300% over what it was 2 wks ago. Could the run be about over?
Thanks for the great advice.
After CBIS and MIHL, I know SHOM feels like a home run.
Thanks for the clarification.
Just looking to catch up on a few facts about SHOM. I've owned it for over 2 years and am just recently back in the black.
Thanks for the info on SHOM competitors ADUS and AFAM. The Top 10 list is probably out of SHOM's league.
When I look at Price/Revenues ratio, however, neither ADUS (0.5) nor AFAM (.69) are valued as high as SHOM (~3.5) currently. On the positive side, SHOM has no debt vs. relatively high debt load for ADUS and AFAM. So it's still hard to find a great 1:1 comparison with a competitor to help value SHOM. Maybe it will work in their favor, and they will do a deal with an anxious buyer. We shall see.
Have you heard anything about an effort by SHOM to change to a Nevada corporation?
'stockpeeker'
OCLG seems to be having a terrible time, so I hope Mr. Sarvis is NOT talking to them. Their mktcap is only $136,000 and they must have over $3million in debt. Not a good formula for success.
SHOM competitors?
Will someone name a publicly traded company that I can compare to SHOM for valuation purposes?
Thanks!
'stockpeeker'
ps> pumpin' leads to dumpin'
Rah Rah Shish SHOM Bah!!!
Where's the value?
IMHO it's already reached full valuation, and seeing the CEO use the word "exponential" in a press release is not enough to convince me that this gets to a penny even when there is good news.
Yeah, I know, I'm being a less than overly optimistic, but that's my view of the world.
I sold some this morning at .0049 and hope to sell some more at .0055 but it looks like SHOM is stalling out here.
SHOM Weather Outlook? Ominous due to too many SHOM cheerleaders "pissing in the wind".