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Thanks Ray, take care and best wishes. We should do well next week. Possible we might have a nice day tomorrow.
Yea huge volume. Knowing conversions were on going it made me stop lurking at this and I bought low 003s Thursday afternoon. Looking at buying more but bought a decent mil share position. With the volume this week and especially Thursday mathematically I don't see how the current conversions are not done very soon.and it is possible that the volume on Thursday finished them off. I noticed VFIN was acting very erratic in the afternoon. He was all over the place. Kept moving on and of as ax. He went from 0034 to 0149 to 0036 to 0054 to 0036. Just all over the place. Usually he sits there and does his thing and doesn't act so erratic. He was bouncing on the bid too at times, sometimes being best bid. Anyway, yea bottom line is the current conversions should be at an end or near end and then with the exposure this is getting I would think this runs really well soon.
Two recent filings show two lenders (Note converters) received about 37 mil shares each. Note converters have to hire someone to do their converting of shares so they have to hire an OTC dealer. VFIN BKRT BMAK VNDM are the main 4 dealers that take care of conversions. These dealers will short against the box with the shares multiple times a day as well while also converting. Those large avg trades during the day and T trades is most likely the conversion dealer covering (getting their client's shares back). The dealer's job though is to get the best profit possible for their client. At the same time though why not short and make some profit for themselves too. I know I would.
These stocks get ripped to shreds by note conversion because there are actually 2 things hitting the pps. Selling shares to market and the constant shorting against the box and covering lower. Best thing for traders to do is read filings and loan terms and know what and when something is going to convert. Then also use math. Make sure to figure out a good estimate of when conversions might end. Remember to factor in discount rates and look back periods. In the case of the 2 lenders that converted recently (Typenex and TJC Investments) volume has been huge this week in this stock. A decent rule of thumb is to assume maybe 1/3 of the daily volume is conversions when conversions are happening. A lot of times these companies are not fully reporting so you have to get the look back period and discount rate to then figure out how many shares the lender received. With MJMJ they report it with those 13gs those filings tell you how many shares. Only problem is that the converter can't have 10 percent or more of the company's shares at a time so the 13g could only be a partial of what is to be converted. It is best to read filings and balance sheets and loan terms and then using math figuring out a rough estimate of total shares.
The math isn't that difficult just remember to factor in look back periods and discount rates. This stock here has been having monster volume. This is great as it ends the conversions sooner. I would have to agree with the Rainmaker and say that there is a good likelihood that current conversions should end very soon and it is possible even that they pretty much were finished off by close. I saw some questions on here concerning some of the things I just covered so I hope it helps to understand. Good luck.
Vfin in just the last 30 minutes I have seen him go on the ask 0034 0037 0036 0149 0035 0057. He is all over the place and then on the bid too. I've never seen him act quite that nutty before.
Is vfin on meth or something? To me it seems that boy is acting very erratic. All over the place.
BMAK came back down anyway, so the techs that were looking good to me, now not so much. Waste of a good pinch play.
That was one crazy PR. I was looking at buying a couple million because I liked the technicas but not after that PR. Good luck everyone.
Impressive paint job done today. See that 500 share sell at .0382? Why would anyone undercut and sell less then 20 dollars worth of stock on the bid? The answer is to turn a bullish technical indicator bearish. In this case the PAR/SAR. It is just one indicator but the paint job did accomplish in flipping the PAR/SAR bearish. Bad news for the person that flipped the PAR/SAR is that it will not take much or long at all to flip it right back bullish.
Dilution MMs seem to have left. First one on the ask is vandham at 01.
VHUB is looking strong. I've been here for awhile and have been enjoying a nice steady orderly uptrend. I'm starting to get a hunch that folks who are in other vape stocks might be pulling out of those and maybe taking a look over here. I've been saying for months that this is the best vape stock. I said eventually the market would begin to figure that out.
Vfin is sitting at 2000 on the ask at the very bottom. Buckman and Vandham are at .0149 and bmak keeps moving back currently not involved. Not sure what you are looking at.
I'm in over there. Bought millions on Friday :)
Just the fact that they can get non convertible loans is pretty good. Most OTC companies can not get those kind of loans. We do need to see the 8k to have a look at the terms. If as they said also that the money will be used for more inventory then that also is positive as one could conclude that they expect increasing and growing sales. If so then more inventory would be needed and hence a loan to provide the capital to increase inventory.
Sorry, I didn't see this post where you said they were not in the complaint. Never mind my last post.
They went to jail for "pumping" other MMJs and other companies. I read the entire SEC report/charges last year and LATF was not in the report. They got busted for what they did with other tickers NOT what they did/planned to do/ might have done concerning LATF. SEC didn't catch any involvement by them with LATF. If they had they would have added LATF in the report. LATF was not in the report anywhere.
Great to see you here EYE. IMO you are the best chart reader on IHUB. Very fair and accurate always with good info.
In the long run to be honest with you it very well may be beneficial to you that you didn't sell. I really can't believe I am saying that concerning an OTC stock.
The second payment was expected. That is why we saw no buying frenzy like we did on the first payment. Next potential buying frenzy will either be if VHUB puts out news on a distribution deal or the next fins. As far as the fins go eventhough VHUB already predicted 2.4 million in revs people want to see it. Just like VHUB kept saying they would pay back the loan with cash people waited to buy until VHUB actually did it.
Remember we are in the time period between Memorial Day and Labor Day. Volume will be limited during this time for the most part. There are not note conversions so that greatly limits volume as well. There is also no pump and dump crap with this stock so that also limits volume. This is, to me, actually a solid longer term play. Quick flipping and that kind of stuff isn't the best way to play this one. Float is too tight. Management behaves as though the company is traded on a major market. They have ensured that the stock trades that way too the way they set up and have protected the share structure. These are positive things folks. They have protected this ticker from front loaders and pump and dumpers and have also protected it from ruthless note conversions. They set this thing up to be investable more so then tradeable. The consensus on the message board is that the pps currently should be 8 to 10 cents. As long as they keep paying the loan back in cash then there really is no reason why the pps won't get there. Sit back and relax. Things look fine here.
On a final note it looks like my assumptions a couple of months ago regarding how much they actually did borrow from Typenex were correct. 8 more months of payments plus the 2 they have already done comes to 350k dollars. That is right in line with what I thought. Again they reiterated that they will continue the cash payments and with projected revs of 2.4 million a quarter, mathematically it is very logical to see how they can do it. In long here folks. Usually I don't hold OTC stocks for any longer then a few weeks at most. This thing is on auto pilot for me. I've been playing OTC stocks for over 10 years and this one is the first one that I put my "It is investable" stamp on it.
Sup homie? It looks all setup to me. Loaded up on 11s.
Another solid day. Any solid news/update/PR and we should get to 5 cents.
Yep but it sure does go parabolic from time to time over the years.
Well the company has been around for about a decade so how long is it supposed take. That sure seems like a long time.
Apparently not today. Up a good amount. You really need to learn about note conversions and the process. Then you will understand why what you are saying happens sometimes and sometimes doesn't. If you are going to have involvement in these pink sheets then you need to know how to read charts. You need to understand the note conversion process (they all do it). It would also help if you use level 2 and it would help if you know what OTC dealers do what.
So the SEC was staffed enough to suspend 12 other mmj stocks last year but when it came to LATF they couldn't find the time? Ok.
Hey Bernard, how was your weekend? Fine I hope. Sure, I'll take a shot at your questions.
Growth - It seems as though VHUB's growth story as to this point in time is not linear quarter over quarter. Instead we see a few quarters that pretty much looked stalled as far as growth and then a breakout that propels them to the next level. The last 3 quarters were 1.2 then 1.1 followed by 1.1 now a projection of 2.4 for this current quarter. That seems to me that some new factors allowed for that. Vape shows they have been attending and possibly they hit on a distribution deal or something. They are apparently selling product in the UK now. I do believe they will be correct with their projection. When they gave it the quarter was almost 2/3rds completed so it was far enough along for them to extrapolate. Also they have to be very confident they will hit on that projection. If they don't they will likely get hammered. They would have to be very unwise to give that projection if they had any doubts of hiting that target. In the next fiscal year as you said they project 10 million in revs. As you say that would be in line with this current quarter moving forward extrapolated out. In the future they may come out with new products. They may ink new deals, growth of certain products could really take off or might even fizzle. There are things and events that will happen in the future that at this point in time would be irresponsible to project. They should be conservative and project based on only what they know right now. I strongly believe for instance they did not know back in January that this current quarter would be a breakout quarter for revenue. It is best to keep projections based on the here and now and as events take shape and factors change to then adjust projections.
Loan payments - It really seems as though they turned a corner in this current quarter. Many wondered how they might be able to make cash payments unless their revenues started to increase. The company basically stated that revenues have doubled this current quarter. With the new factor that revenues will be 2.4 million vs 1.1 or 1.2 million it then becomes evident that in fact revs did increase and probably just in time. With this new factor it then becomes plausible how they then can continue with cash payments. As I read the financial report I read over page 14 and 15 closely. I see that the last time they appeared to have taken out a tranche from Typenex was on January 16th. Unless I am missing something it doesn't seem to me that they have taken out any more tranches, so it doesn't seem they are taking out more tranches just to pay off the last. Also I read some clause in there where it even seems that they are prohibited from even doing such a thing. What I honestly think is that just in time they turned a corner and can and will be able to legitimately make loan payments with cash due to the doubling of revenues starting this current quarter.
Events will continue to unfold as time marches forward. It now appears they are selling in the UK for instance. This is not only a new company but basically a new sector as well. I don't think for awhile anyway we see straight linear revenue growth but instead see some stalling out for some quarters but at times some breakout quarters that brings revenue to the next level as is what seems like happened in this current quarter. You like baseball? You ever see a team play .500 (win percentage) ball for a long while and then all the sudden win 10 games straight. Then play .500 again for awhile and then win 8 games straight. Once it is said and done though and the season ends the ballclub has a good record do to the average play for much of the year but combined with stellar play for a few times during the season. VHUB's growth seems to be happening like that.
I like the email he sent to you today. To the point and honest and explains what happened very simply. It was better then his PR. That's all he had to do. Cheds is right. It will sit in this channel until financials. I'm thinking around 1.3 to maybe 1.5 mil in revs, a small net loss and as of now outstanding debt about 400k. Just my personal thoughts.
Good to see both of you here.
There will always be resistance and resistance levels. As a stock increases in pps it will always meet new resistance levels. The healthiest move is that over time it breaks resistance levels as fundamentals improve. Then trade in a channel until fundamentals say otherwise. In the case here by several metric and one key one being comparison to peers VHUB should be above its current resistance levels. I therefore believe because the substance is there that it will BUT it will be a gradual process I believe.
Bernard, that is actually a very good breakdown. I agree and concur. As you stated though that is kind of a rough draft and there are many factors that could change or be factored in differently to get somewhat different numbers. 8 to 10 cents is about what I have come up with. So many things can be factored different. What liabilities will be, costs, revenue growth, bottom line, P/E ratio etc. One thing I really like about this message board is that people here actually give good figures and back up their opinions with something of substance. You don't see a lot of pumping "to the moon" crap here. I like that and I like VHUB and trust me I don't play penny stocks long but this one is much different then 99% of penny stocks. Products are real and since I have been a shareholder management has been trust worthy. This although being a penny stock has the feel of a small cap Russell 2000 stock in the behaviour and the way it trades. Basically what I am saying is that this is a serious stock and I feel can be invested into. I can not say that about most penny stocks. At best the majority of penny stocks are not very serious and are only good for momentum plays.
At any rate the point for me is I actually did decide to go long here and a gradual pps increase over time is what I am expecting. Usually with penny stocks you want to jump in for the momentum and just trade it. Here, this stock acts different so I really do not expect any "To the moon" stuff here. In other words I don't expect it to increase 500% within 3 days and then crash like penny stocks are known to do. I simply expect a slow steady increase and I prefer it that way. The one exception to that would be if the sector as a whole has a big spike which in turn would vastly increase all stocks in the sector including VHUB. Right now I do not see anything or catalyst to cause that. I foresee a steady increase and a pps of 8 to 10 cents in about 6 to 12 months. If VHUB plays their cards right they actually have a decent shot at getting in the NASDAQ maybe in a few years (3 to 5). That only happens to maybe 1 out of 1000 OTC stocks. That possibility is years away but this is the kind of company that does break out of the OTC.
Mekonza is listed on very recent filings. Menkoza has been listed on filings since 2013. The company owns Mekonza and if they didn't but kept saying they did then I would think that regulators (SEC FINRA) would have done something by now. Regulators suspended 12 MMJ stocks last year. LATF was not one of them. If LATF is such a scam why can't FINRA or the SEC figure it out? You say LATF never owned Mekonza? Do you have proof? If so please share.
Sorry Bernard, I read your post again. You stated why you are bullish. You think VHUB could be an acquisition target.
This was major news today. I'll explain exactly why I think so. The CEO put out basically the revenue for this current quarter will double the average quarterly revenue and basically said he's giving guidance of about 2.4 million in revenue for this quarter. First thing is do I believe that? Yes I do for the following reasons.
- The quarter basically only has a month left so it isn't too much of a stretch for him to be able to give this guidance.
- He is not a pumper. He is actually pretty conservative for an OTC company CEO. Since I have been a shareholder I haven't seen him act anything but a tell it like it is CEO.
Now I wish to say some things about the news itself.
- The one issue with this company is that they seemed somewhat cash strapped. Doubling revenues should certainly help with this.
- Now it also becomes much more understandable how they did and say they will continue to pay back Typenex monthly loan payments and continue dilution free.
- It is becoming very clear they turned a corner this current quarter and they are killing it. I speculate it is a combination of a few things. They kill it at vape shows they attend. The limitless mod's sells are fantastic. Lastly I have a strong inkling that they have hit on a distribution deal or something.
Bernard, I'd like to reply to you for a second. First I see in a post today that you say you are bullish on the company. I remember in the past you saying that you were neutral. I think you are a smart person so I am just wondering what is it that turned you bullish. As to your question of why the PR basically only talks about the last quarter and guidance of the top line but does not mention the bottom line, well you probably will not like this answer. The answer is that penny stock companies always only talk about revenues. The investors that play OTC stocks mostly only want to see revenues and want to see growing revenues. The top line rules this market place. Investors wanting the bottom line generally don't invest in this market place. Companies in this market place know this. That might not be the best answer but it is what I have seen over the years and I have been playing penny stocks a pretty long time.
Projected 2.41 million revs for this current quarter, not 2.14, I'm guessing you typed the 1 and 4 backwards. Yes very good news as it seems they turned a corner and something big happened to be able to double quarterly revs.
Thanks. I wanted 7s but no fill. I use the RSI a lot. 7/8s looked good to me last week so I took the gamble. Recent expirenece with VHUB was something similar regarding a huge authorized share increase that scared traders. I bought that at 1.5 cents when RSI 30 or so. Once fears finally settled the pps jumped to 4 cents. I nailed it there and am looking for a similar outcome here.
Things look fine today. "Wall" at 001 been getting pounded. "Wall" at 0009 got pounded and taken out this morning. 17 mil left at 001 and 14.5 at 0011, after that pretty much nothing. That will change though. I bought millions last week when 0008 was on the ask and I feel very confident.
People keep saying authorized share collateral is not required at such a high level that VPOR would need to raise authorized to 8 billion. All I am pointing out is that VHUB had to raise theirs 8 fold from 140 million to 1 billion for debt of a few hundred k. Nothing is even converting. They are making monthly cash payments. Typenex (the lender) and the auditor required the absurd increase in authorized shares for VHUB. Even if they convert over there the increase is absurd. VHUB had no choice. It was required by the loan. Given that as an example I'm saying that yes some lenders or some auditors do require an absurd amount of authorized shares as collateral. Lets allow to accept the possibility that VPOR had to raise to 8 billion because of collateral instead of everyone dismiss it completely.
Not one person to challenge my question from two days ago. I will ask again then and i will continue until one of the authorized shares nervous nellies gives me an answer. Some you you completely dismiss that the a/s raise could have been done mostly because the lender or the auditor requires it for collateral. Again I will repeat the case of VHUB. VHUB has 68 mil shares outstanding. They owe Typenex on a convertible loan and owe a few hundred thousand. They are making monthly cash payments however and say they intend to continue cash payments. A couple of months ago there were forced to raise authorized shares 8 fold to 1 billion. I will say it all again.
- VHUB had to raise authorized 8 fold to 1 billion from 140 million because of collateral requirements by their auditor and lender.
- VHUB only has 68 million outstanding shares.
- VHUB's debt on the convertible loan is a few hundred k.
- there is absolutely no way it would take over 900 million shares in conversion to satisfy the loan.
- they are even paying back in cash in monthly payments and always said they intended to and say they will continue.
- No dilution has occurred there. 68 million outstanding before the authorized share increase and 68 million now and the authorized share increase was more then 3 months ago.
I want to here an intelligent answer from any of you to explain to me why you think auditors and lenders don't require absurd authorized share increases as collaertal. All you guess keep saying is why did VPOR need to raise so high and it can't be for collateral requirements. If you say and think that then you need to explain why VHUB had to raise theirs 8 fold.
Thanks. I wasn't really trying to compare the two. I was more just trying to use an example of a case where A/S in another company was raised to a crazy amount solely and only because of collateral against the loan. I like VHUB and VPOR and I trade both.
That pie chart is really good work. Very realistic and probably pretty darn accurate. Member marking you for that. I pretty much agree with your numbers and estimates. I have total remaining debt left at roughly 400 to 500 K so pretty close to yours. I think he will pay out one note in cash. My guess will be it will be the last note that he can pay so he can put out a PR saying something like "VPOR makes 3rd cash prepayment; company is free of convertible notes". See if it were me I would use the cash payment for the end so that I could hit with a double whammy, cash payment made and note conversion free.
No not all non-magna notes have been paid. There is definitely one remaining. I don't think there is more then that one but it is possible. When a note is paid off though it is over, done. Yes the end of year calculation could have been incorrect as of 12/31/2014 for certain notes but between then and now if that note/s were satisfied then it is over. VPOR isn't only keeping track of the notes. The lenders are too and they know when their loan has been satisfied. I can not guarantee that the Magna debt is what caused the A/S increase but I would be very surprised if it wasn't the Magna debt. Another thing about Magna. They write more complicated loans then do other penny stock loan companies. That "embedded convertible" stuff just sounds like Magna loan terms.