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Just a lil market maker scare tactic. Day's not over yet.
Quiet here folks. I'm initiating my own due diligence on Echo and am compelled thus far by the potential of the company's non-invasive (aks needle-free) blood sugar monitoring system for diabetics.
This product has massive immediate-term potential and Echo also develops enhanced verions of comercially successful drugs.
They are looking for funding to bring these products to market and if they succeed, I think that current levels willl prove to be the ground floor from an investment perspective.
Let's keep the ask at .25 and up folks! The powers that be have held us down for too long.
If we can bust through that resistance, profits will be larger for all! Instead of letting the MMs swallow up cheapies, make them pay for em at .30 and above.
They can't hold us down forever! Let's wrap up the day strong for another + 5% to 10% gain and a 6th green close. Slow and steads wins the race.
A close above $.26 today would be extremely bullish. I was expecting a stronger upward movement today on the "Price is Right" news, but as has been mentioned previously, slow and steady daily gains are certainly better than volatile peaks and valleys.
I've prompted the company for more clarification on the County Imports deal. Apparently the owner wanted to spend more time with his family and turned operations over to SNWT because he knew that they were some of the most knowledgable and capable folks in the industry. Another big part of his decision, I'm sure, was his confidence in their ability to improve sales from already solid levels.
I'm attempting to learn more about the finanical details as well as how CI gets integrated into the San West corporate structure. From what I can gather thus far, a percentage of sales will be shared with Jesse (the old CI owner) and CI is now a full fledged part of San West/Buggy World. While the sales certainly appear to be going swimingly, I think that communication from the company that outlines more of the deal's specifics is in order.
The Mega-Mall concept is ingenious and management seems dedicated to brining a diverse collection of motorized vehicles - not just off-road buggies and bikes - to the Buggy World location. They are located in one of the biggest markets for these products in the nation and the recent economic downturn has forced many smaller dealers out of business and many others are looking to sell out or partner up to stay afloat. So, in addition to being located in a prime market, SNWT also benefits from a very favorable business climate.
Bryan is also an authority on off-road vehicles and widely accalimed as a buggy guru. I would imagine that him designing his own vehicle would create a great deal of fan fare and could also provide a new and lucrative income stream for San West.
The IR contract with Hayden is certainly a positive development for Echo.
Hayden has a pristine reputation and superb Wall St. contacts. They also have a pretty stellar track reord of helping gain exposure to clients and enabling them to move forward with their growth strategies. Many clients are listed on senior exhanges, too.
So, this should mesh well with ECTE's goals of "up-listing" over the next 12-18 months (per a corporate profile I just recentl read, did'nt see mention of this in the most recent filing)
It looks like we finally chewed through most of the sellers.
Many of the longs that I've spoken with lately have locked in some nice profits over the past 5 or so high volume sessions and are looking to hold above the .30-.35.
Right on, my man. Best of luck to ya!
Recent activity in the .20-.23 range seems quite similar to a few months back before the stock ran to >1.60.
With a record Q4 transpiring and word getting out to both financial pros and individual investors via the new IR contract and stronger media coverage/PR contracts, things appear to be heating up.
This is trading nowhere near the 52-week low. Split-adjusted prices is approx $1.15, so, we are more like a dollar above the low verus .10.
Either way, the recent consolidation and steady moves upwards on increasingly high volume are promising.
only difference is that the weed clinics generate profits and revenue.
this is a cool useful product, but not a new one. It was in stores like Walgreens and CVS(tough road to tread),online at Amazon, and marketed internatinally via infomerical at one point and has been around the block. a google search for old press will show that.
that being said, im surprised that a company like GE has'nt scooped up the bulb yet.
That's a very positive write-up, indeed!
The recent consolidation around .20 has been pretty intereting, in my opinion. It looked like things were about to take off after the quick jump out of the gates this morning with regard to both volume and pps.
Word about SNWT appears to be finally reaching the masses with both the huge IR contract and more and more market-related newsletters initiating coverage. Perhaps some of these pieces are correct in their belief that the next press release will be just what the doctor ordered to fuel a new leg up. I'll be watching closey for sure.
The comment about shorts in this newletter is also interesting.
Is it just me, or has anybody else on this board noticed that some of the negative posters with short agendas that happened to have just created an alias a month or two ago and only posted on SNWT have migrated and not returned? In additon to reading the bi weekly short reports, I think the presence of these folks is a good indicator of short interest.
Just my two Lincolns-worth. Good luck to all!
Thanks.
I'm wondering if the shell left over after a potential private buyout would be more valuable on a pps basis than what we are looking at currently.
It would also be interesting to know if these potential private investors are angling to acquire the IP and sales rights for the remote disconnect business rather than the whole kit and kaboodle.
The absence of filings makes it tough to see how much debt to long-term financiers reamins, but I'm guessing that it is still quite significant. That has to be a major disincentive.
Management is another issue, it will be interesting to see if the potential acquiring party has a new team lined up since the acquistion would in theory indicate that NIHK failed as a public entity, or if some products will just be integrated into and existing company.
Interesting times, indeed. Regardless,in the grand scheme of things, I'm down big on this one. But, there are certainly some strong points that could incite a resurgence in pps or contribute to a successful private company. Good luck to all!!!! Hopefully you'll have better luck than I.
Thanks. Man, we used to get frequent updates, from both PRs and messages from management. Silence is not usually a good sign from micro-cap companies.
They have a great, timely product offering with a boatload of potentail(both the remote and IPTV biz)and at one point some great partnerships as well.
Peformance - both market and operational - as of late, however, has been a different story.
I know that the recession hit everybody hard, but I also would have thought at least the disconnect biz would have remained fairly strong because those products help utitlies and other companies save money.
Is there any substance to speculation with regard to NIHK going private?
Anybody speak with management recently and/or have any idea what's going on with the "hawk"?
Wondering what's up with the IPTV biz as well as the bread and butter remote control sales.
I'm curious to learn more about the specifics of this deal....
From my point of view, the most important fact is that San West will book the >$3M in annual revenues. I'm wondering if perhaps there will be some sort of revenue share with Jesse rather than shelling out millions in cash or shares for the acquisition.
Also wondering if they've acquired the rights to sell the product or actually scooped up County Imports and all of its assets. Did you happen to get any specifics on this when you spoke with the sales rep? Just wondering...
Either way, this appears to be a win-win for both parties and it sounds like the venture is already paying out big time with management stating that revenues will reach all-time heights in Q4.
Happy thanksviving to you! Here's to a stellar rest of '09 and an even better 2010 for San West and its shareholders!!
This is a major development, in my opinion. Hayden IR has a pristine image and a number of their clients trade on the NYSE and NASDAQ. They also have a proven track record of producing results.
This should expose San West to a new population of investors, many of which are more focused on long-term investing than short-term trading. It will also provide access to the broker and analyst communities.
Wonder how many of the pennys that Timothy Sykes cashed in on were represented by IR firms of this caliber....
That sir, is certainly factual and extremely important information that should be understood by any investor. You can't hide from the facts and according to the most recent filing cash flow is currently an issue.
I'm very interested to see what type of impact forecasted Q4 revenues of $800,000 would have on the bottom line and what level of costs will be required to achieve sales of that magnitude.
If the company can efficiently incorporate the County Imports, Trophy Kart, and San Diego Sports Cycle relationships as well as an effective sales/marketing campaign into its business model, the future looks promising in my opinion.
Sure. However, the folks I am referring to have actually disclosed a short position previously, do make negative comments and have also stated that their short position has been closed although they do in fact see short potential, despite there not being much, if any shares available for that purpose.
As some folks have mentioned, a number of investors
have not closed their short positions.
Moreover, it has been suggested numerous times that some of the bigger players in this deal with open short positions are employing a strategy that I suppose could be percieved as "painting the tape" in reverse: The objective being to scare investors into selling (rather than luring them in).
While I am NOT insinuating that anyone on this board is doing either, it is also common for large investors in this position to compensate people to post on message boards or post themselves in order to stir fear among shareholders to complement their trading strategy. If they in fact need to cover under the circumstances that Value so eloquently articulated, I would think a strategy such as this could be an option.
As I stated before, I'm interested to learn about what motivates investors with no position or financial interest in a stock to spend time commenting on message boards. Moreover, I wondered if, perhaps, some of these folks saw some potential to take a new position in the company (long or short), because I'd think if not, they would likely be foucsing elsewhere. As it turns out, some folks do see short potential going forward, which answers my question (thank you!).
Lastly, I'm not trying to bash anybody. Everybody has a right to their own opinion and the right to voice that opinion. I was merely attempting to understand.
It's quite interesting that some folks who disclosed their short positions prior to the split remain some of the most active posters on this board.
I'm just wondering what the motivation is to post negative comments if one has no current financial interest in the stock. That's where I was directing the question.
Just wondering: Do you see any potential for shorting this one at current levels?
I don't get it. Who would be selling at current levels? Especially given the recent announcements...
Q looks good. The 4th quarter guidance, however, is what's most promising in my opinion.
How does everyone else feel about the financial report and forward looking guidance?
There does appear to be a short interest here. I suppose we will see when the November report becomes available. However, in my opinion, judging by the recent updates I've seen, there is a growing interest..
My perception is that the majority of dedicated longs, at least those that I've communicated with, are holding tough and a number are buying on the dips.
I'm very curious to see what the ultimate impact of the recent forward split and upcoming Q3, Q4, and end-of-year financial reports will be on share price and the short situation over the long-term...
Very astute observation.
Amen, brutha.
This is shaping up to be a profit situation if people hold strong here. Can't wait to see what unfolds tomorrow and beyond...
SNWT just announced a 5 for 1 forward split set for tomorrow morning. The stock has been gapping up since the news release about 45 mins ago... May be worth a gander, folks.
San West Inc. (SNWT.ob) just announced that their stock will split tomorrow morning. 5 for 1 forward split planned, currently trading at .83.
SNWT splits tomorrow morning. Very short notice. Thought it might be interesting to some of the folks here.
Looks like the split is on... The last 2 hours of trading should be interesting!
Hey there,
Could you please elaborate a bit about the OTCBB daily list and how to access it.
Understanding the Forward Split
I suggest that everyone speaks with their broker today. I'm calling mine back in 10 mins and I'd love to hear any explanations your's have for this situation.
It appears that a communication mix-up may have triggered some investors to sell today, in belief that their holding yesterday would be "locked in " and awarded 5 new shares for every old share of common stock. Unfortunately, the way that it has been explained to me is that all bets are off for shares sold between the record date (10/26) and (11/2), regardless of how many were owned on 10/26.
After speaking with a few fellow investors, it appears that many of us did not realize that those wanting to participate in the fwd split must not only be on the record as shareholders on 10/26, but also remain so until the effective date of the split (11/2).
The bottom line is that those that have sold today won't benefit from the upcoming 5 for 1 forward stock split. AGAIN[B], i strongly suggest calling your broker. However, the way that I understand it, those that get back on the record this afternoon will still be able to benefit from the fwd split and will also have the chance to pick up some cheap shares on the dip.
Anybody have any comments to share on the recent announcements and trading activity?
"San West Inc. Issues Statement Regarding Upcoming Forward Stock Split"
http://finance.yahoo.com/news/San-West-Inc-Issues-Statement-iw-827208984.html?x=0&.v=1
Perceived Benefits of Upcoming 5 for 1 Forward Stock Split;
Here's some commentary pertaining to the potential upside associated with SNWT's planned forward split.
Upward Trend: many investors believe that a forward split indicates a positive, upward trend in the company's pps and positions them to own additional shares, which are poised for short-term appreciation.
Research indicates that institutions purchasing shares before a forward split are likely to obtain earnings increases over both the near and short term (note: this has to be positive on some level for us retail investors taking a position as shareholders of date for the upcoming fwd split).
Evidence supports a correlation between institutional ownership and forward stock splits.
Greater overall share ownership will facilitate a more diversified shareholder base.
Increased daily trading volume and sub-$1.00 share price will help SNWT to a appeal to a wider audience of traditional penny stock investors.
Increased liquidity: in theory, a larger supply of cheaper shares will encourage retail trading which therefore increases liquidity for shareholders.
Increased retail ownership plays a key role in combating PPS volatility going forward as research indicates that retail investors have longer holding periods than their institutional counterparts.
Psychological “BUY” signal: many investors subconsciously associate the forward stock split with a buy signal and view the action as a prime indicator of an explosive situation. Although a forward split surely does not always indicate a buy, the perception phenomenon is profound.
Potential Downside
Two potential areas of downside to this decission include (1) the chance for increased volatility as a result of increased trading volume; (2) a downgrade to the shareholder population driven by the decrease in PPS. Note: these two comments are more applicable to forward splits executed by firms with substantially higher (i.e., >$50).
I really think that the "iBox" would be a great spot for info like this.
It would be very much appreciated if whomever is authorized to update the box would add data and/or info pertaining to SNWT's business model such as the intricate details of the upcoming split, financial FACTS, etc.
This would be super, largely due to the fact that a growing number of folks make baseless claims with regard to various aspects of SNWT's business that have been accurately detailed and discussed by longs.
If it happens to be a time/scheduling constraint thing (i.e., the reasoning behind why the ibox is not yet so robust and stocked with informational resources), I would love to have a chance at helping out with moderating and would'nt mind spending a few hours per week to begin prompting board members to see what info they feel is essential to the ibox and in turn beginning to post said info.
I'm very excited to see how the stock reacts to the split once trading kicks off on 11/2/09. Retail interest in SNWT was extremely strong & bullish as share price surged not too long ago, before consolidating and forming a solid base in the $1.40-range.
When the stock is re-positioned by the dividend split - back into the $.30-range - if history repeats itself and share price moves northwards - it is at this point when shareholders would see some serious gains. Certainly, this is just speculation and/or hoping & wishing on my end.
However, I'm going to spend some time this weekend deeply analyzing the SNWT chart and speaking with some of my broker/trader buddies who's knowledge far exceeds mine to see what facts support the opinion that share price will appreciate back into the >$1 range, post-split.
I'd also be interested to see if anyone here has invested in companies that have executed more than one forward stock split in recent years. Any info that board members are willing to share would be greatly appreciated! Glkk
Question for those with a short position
For those of us here that have taken a short position in SNWT I was wondering what the thoughts were on the post-split price as well as what I guess you could refer to as the "extended short thought process".
Just trying to understand here folks, not being facetious: So, say we are in the $.25 to $.30 range. Is the idea that despite there being some level of potential or chance for the stock to trend back to current levels or at least advance from post-split levels intially - based on growth potential, new agreements announced, or whatever else it is that gets investors excited - eventually, share price will drop?
I'm just trying to understand. And, what if post-split, we remain in the .25 to .30 range? Is there still significant short interest in the stock dropping significantly from there?
Thank you in advance to anyone willing to discuss their opinions!
Revenue, Margins, etc.
With all of the talk about revenues and margins, I thought it might be a good idea to state the facts rather than the vague statements made by some folks out there.
REVENUE
$6M (approx)– Annual revenues which management has positioned San West Inc. for via acquisition, partnership, and other agreements.
>$1.6M – Buggy World annual revenues.
- $3.2M – Annual sales acquired with the countyimports.com partnership
- $700,000- Annual sales acquired with SD Sports Cycles deal
- $150,000 to $200,000 – Annual sales (in addition to national TV coverage) acquired with TrophyKart agreement
Note: Management has stated that Buggy World Revs and Margins will grow substantially in 2009 and that ALL of the agreements listed above have the potential toEXCEED their historical sales and margins in the future, under the SNWT umbrella.
Revenue from the most recently reported quarter: $150,098. This marks a 945% improvement over the corresponding quarter of 2008.
1st half 2009 revenues: $329,52. This marks a 1,235% improvement over the 1st half of 2008.
GROSS PROFIT MARGIN
30% - Gross Profit Margin from the most recent quarter
34% - Gross Profit Margin for 1st Half '09
Note on GPM: Management has stated that Buggy World margins will improve significantly during 2009. The shift to a more online-centric business model (major sales increase through countryimports.com deal) should also be positive for near-term margins. Furthermore, management is dedicated to fostering improved margins from many other aspects including, but not limited to: better product and part servicing via wholesale opportunities enabled by Bryan Britton's position as an industry insider, parntership & acquisition of synergistic companies and brands with solid margins and continuous evaluation and improvement to the current biz model.
Net Loss
Net loss was $152,238, or $0.01 per share, for the three months ended June 30, 2009 compared to a loss of $18,810, or $0.00 per share for the three months ended June 30, 2008.
Net loss was $312,393, or $0.02 per share for the six months ended June 30, 2009 compared to a loss of $27,627, or $0.00 per share for the six months ended June 30, 2008.
Note: Despite the net loss per share - in my opinion - the actual dollar amount is not alarming for a company in the aggressive stage of its growth through acquisition strategy. Moreover, the substantial sales increase and low margins should be positive for this category. It should be interesting to see what the net income/loss situation looks like in the 10K Annual Filing. Apparently, patents and processes sold off from the old company will bring corp debt down to roughly $500K. In addition, the 4th quarter, which management feels will be BY FAR the best in company history sales-wise coupled with the higher margin online biz should be positive.
Have you ever read a forward stock split press release and do you understand the concept?
In addition to what was said in today's release being standard verbiage used in just about every other fwd split announcement I've ever seen, the commentary also pretty accurately describes the intent of the action. Hmm an honest company wanting to share its succcess with shareholders... Somebody should lose a limb for that surely, eh?
Moreover, any successful business should itend to make its products and services available to the widest selection/audience of consumers as possible.
Going out of the way to make inroads with multiple financial instituions for the sake of growing the sport of off-road racing and expanding the target market is a pretty sound business model, in my opinion. Why start a business if consumers in the region can't get financed to buy your stuff?
And, while bankruptcy is not glamorous, the truth tells us that we are climbing out of a major economic recession and many folks are in fact attempting to start over. Should they not be able to have a car or off-road vehicle if they make the payments. Are they forever destined to suffer from their past misfortunes and shall the be shunned for enternity?
Lets let the filings and corproate developments tell us what is stable and sound rather than nit-pick and twist things around... They will tell us all we need to know going forward.
Here's the deal...
Actually, firstly, thank you for not taking my comments as inflamtory as they were not intended to be and cheers to us all having a constructive and honest argument when time and conditions permit. I just feel strongly that the new management team is an upstanding bunch....
With regard to our discussion about management: Upon execution of the reverse meger, San West managment team took over the helm. Subsequently, HBSY management exited stage left with one caveat:
Because the terms of the reverse merger state that since San West has merged into the Human BioSystems shell (i.e. what was left of the failed bio-tech), San West Inc. also acquired HBSY's remaining assets and liabilities and assumes responsibility for burning off their debt with their own future cash flow. Certainly, one downside of going public via reverese merger, in my opinion.
Accordingly, the old CEO is tasked with consulting the emerging company - San West - on how to leverage and liquidate any potential assets it picked up along with the debt in order to lessen the amount of San West cash flow that must be used to pay down acquired liabilities.
If I acquired/merged into a public company and assumed its assets as well as significant liabilities, I'd be sure to keep the person formerly responsibile for operations on the hook for a while in a contracted consulting role to leverage their experience and liquidate any assets. Especially if I was an Off-Road motor sports expert and the former CEO was versed in the Bio-tech field.
So, there is indeed a new management team running the show now and they are quite upstanding in my opinion.
Thank you Biotechs!!!
SNWT IS A COMPLETELY DIFFERENT COMPANY OPERATED BY A COMPLETELY DIFFERENT MANAGEMENT TEAM SINCE THE REVERSE MERGER!
The reason for the ticker change (HBSY to SNWT) reflects the birth of a new public- OFF-ROAD SPORTS COMPANY - taking over for a - FAILED BIOTECH COMPANY.
You many have your facts a bit twisted OR perhaps you are just becoming frustrated that as you admit, the short strategy – which you employed – has proven to be ineffective to date. Either way, anybody willing to invest their money in a stock will certainly conduct their own due diligence and ascertain the truth. The truth is that performance of the company since the merger (both financial and market-wise), in my opinion, has not indicated anything “weak” or “shady”.
If you took the time to re-trace the stock's historical performance, you should have also come to the realization that any business activity and/or market activity that transpired prior to the MERGER was NOT IMPACTED IN ANY WAY by the current (San West Inc.) management team and/or operating company as a whole. San West Inc. was a privately-owned company at the time of the 80 to 1 reverse split, that you refer to and had ZERO affiliation with Human BioSystems.
The first reported quarter of operating activity for San West as a public company had a number of very positive points. 3 and 6 month revenue GAINS of $135,737 (945% increase) and $304,836 (1,235% increase) don't exactly indicate a “weak” management team sitting around twiddling their thumbs. To be fair, there was also a net loss of roughly .01 and .02 per share (about $152K and $313K) for the 3 and 6 month periods. We'll see in the upcoming filing how this has changed.
Link to the filing: http://biz.yahoo.com/e/090819/hbsy.ob10-q.html
The gents running Buggy World, a key facet of San West Inc. have been in the industry for about 20 years and the crew has a stellar reputation ( I believe something like 150 years cumulative experience, but don't quote me exactly on that). In addition, the CEO, is about as straight a shooter as there gets. Give him a ring, I doubt you'll disagree.
While the reverse stock split executed LAST MARCH is about as applicable to San West as the price of tea in China, the upcoming FORWARD SPLIT, is actually quite a bullish indicator of current business trends and quite applicable to SNWT. As you alluded, it may also squeeze out some shorts, whom I do commend for there cajones being that shorting OTCBB stocks is quite a risky venture than many brokers would not touch with a ten foot pole.
You had to be aware of that or at least should have known prior to taking a position in the stock that the reason for the name and ticker change was in no way or form a deceitful maneuver. Contrarily, it would be more deceitful for the company to continue trading under the name and ticker of a completely unrelated entity. Would it not?
It is my understanding – correct me if I'm wrong – that the only thing remaining from the failed bio-tech is debt, which San West is responsible for and succeeding in, cleaning up. The increase in revenues has to be at least somewhat of promising sign that the supposedly “weak” mgt. Team is cleaning up the books that they acquired or rather merged into.
Whether intended or not, in my opinion, posts like your two most recent offerings are as baseless and misleading as the “this thing is going to $10 tomorrow” comments made by longs. In addition, you post record seems quite similar to the aggressive longs with 100 posts, conveniently on just one company.
The current management team eats, sleeps, and breathes off-road racing and from what I've seen, is making an aggressive and concerted effort to build a leading company in its industry. In addition, I've been to Buggy World, spoken with management, and conducted some fairly exhaustive due diligence on the company, as well as many other bulletin board stocks.
For the sake of full disclosure, I am an initial investor in San West. In addition, I worked with San West briefly when they were operating as a private entity about 4 years ago and agreed to take shares of a private company that may or may not have ever going public, for my services, despite earning a six-figure salary. I did this because I believed and trusted in management and its business model/future vision.
I also provided minimal consulting guidance during their process of going public and continue to provide minimal business development & investor relations consulting services at no cost to the company. This is because I believe that it will lead to lucrative business in the future when the company matures and because I feel that my position in the stock has significant potential to mature in correlation with the company. If that does not speak volumes for the credibility of management and the potential of the company, I don't know what does.
I suggest you call management if you have not already - which wouldn't be a great strategy for a penny stock investor whether short or long - and then report back as to how "shady" they are. Ask them about the name and ticker change, events that transpired prior to the reverse, etc. I'm quite certain you will see where I am coming from.
In closing, I am in no way attempting to instigate a verbal duel. Conversely, I'm just trying to push for a fair discussion. Their are plenty of valid points to make on both the long and short side of this security. But blaming a group of honest and hard-working men who are striving to both clean up the books from the failures of the old management team and company that they had no impact on and built a great company of their own, just ain't right.