If the dock master kept trying to sell you sea bass when you both know it's tilapia, would you keep buying their fish?

https://www.logicallyfallacious.com/tools/lp/Bo/LogicalFallacies/169/Strawman-Fallacy

I'm not saying that he's any different. I'm saying that he's worthless, inept, and overpaid.

And I'm curious as to how/why you seem to be okay with this?

That's the right attitude.

I think a lot of people here are frustrated because they feel that they were misled by Joey's tendency to overpromise and underdeliver. He's done this on several occasions.

I also think people here are upset because Joey refuses to accept even an ounce of responsibility for why the stock price, and financials, are where they are. With him it's always someone else's fault.

Tanforan -- the mall is renovating. Really? Where's the proof, because it doesn't seem to be the case.

Bahrain -- first it was Ramadan, but then he admitted the other side backed out. Maybe if he were smarter he would have issued binding LOIs with a breakup fee?

Bitcoin -- another shady attempt to capitalize on a pump and dump at the time when bitcoin was soaring.

Co-CEO -- another lie. Joey didn't step down at all.

Lack of shareholder meetings, lack of accountability, etc, etc.

The guy is a born loser. And rule number 1 with investing is never invest with shady management. I wish I had known he sucked at his job as a stock broker and that he was "allowed to resign" from TDAmeritrade, and that he has all sorts of red flags in his career as a broker of doing shady things. It's all available for anyone to see if they check out his FINRA link. Or that he was an executive of a firm that went under because its top management was doing shady things -- either he was a part of it, or he wasn't high enough in the ranks to know what was going on in which case he overinflated his position/role to make himself seem more important. Either way, there is only ONE reason why Giggles n Hugs is failing -- it's because Joey Parsi is a moron.

He may have come to flip pennies but he's stuck underwater with everyone else now. Only people making money off GIGL are Joey and Phil. And since they're salaried they don't care what the share price is. Obviously if it goes up that's great. But Phil gets his compensation in shares so I presume if the price drops he just gets more shares. I doubt he receives a fixed amount each month?

TooFrank will at some point have the same decision as many others. Throw good money after bad and try to hope it bounces after avg down or take the loss.

A great concept ruined by a moron CEO.

Why don't you tell us what you think Joey does all day, that warrants him making $200k/year?

Seriously. List 5 things he does, and does well.

Maybe he hasn't. Maybe he has. It's hard to say.

If he knowingly misrepresented facts and/or situations to shareholders, that isn't legal.

For example:

Did he know that the Bahrain deal had fallen through, but continued to act as if it were happening and the delay was based on Ramadan?

Did he intentionally mislead investors by claiming to step down as CEO, only to come back a few days after the offering had closed in a co-CEO role? Knowing that investors would be more likely to contribute to the offering if Joey weren't; running things?

Did the Tanforan deal really fall apart because they're renovating? Seems like the mall is operating just fine. Is the mall even undergoing renovations? You'd think there would be something about it online, yet I searched and there's nothing...it didn't even make this list...

https://www.bisnow.com/san-francisco/news/retail/bay-area-malls-turn-to-renovations-to-stay-relevant-76394

Even if he didn't do anything illegal, his business ethics are not something most people would consider to be his strong suit. Joey Parsi just comes across as sleazy in every way, shape, and form.

Here's a question for you: why are you so keen on defending him? Do you think he is doing a good job as CEO? Yes or no, it's a pretty simple question. And in case you're having a hard time answering, here's something to think about:

Over the years, $9M+ has been put into this concept. There are currently two locations open, and the company is desperate for cash.

So I'll ask again -- does this seem like the resume of a stellar CEO?

Many years ago, you said you believed in Anavex because drugs typically do not do "U-turns."

I think the same holds true today just as much as it did in 2015.

The fun/scary/interesting thing about biotech investing is that the stock price rarely matches with the true valuation. It's either way overvalued and the drug fails and reality comes crashing down, or it's severely undervalued and the drug is approved and the naysayers are forced to eat crow. But rarely is there an FDA approval or rejection and the stock price doesn't change because the markets had appropriately valued the company.

Given the plethora of CNS diseases that Anavex may help treat, a $7B valuation certainly isn't too out of the ordinary if Anavex 273 becomes a widely accepted alternative to Aricept. Just this year, Celgene acquired Juno for $9B, it acquired Impact Biomedicines for up to $2.3B; Novartis bought Avexis for $9B, Roche bought Foundation for $5B, NxStage was bought for $2B, etc, etc.

I think $7B may be a bit at the higher end of a pre-approval valuation, but if A273 is approved then $7B seems like a fair market value give or take a billion or two either way.

The problem is that it's unlikely the current share count will remain where it is today by the time the FDA trials are finished. $22M cash on hand may not be enough to sustain lots of simultaneous trials, and it certainly isn't enough for Anavex to go at this alone if the drug is approved but Missling doesn't receive an offer he likes. So Anavex will be negotiating a buyout or partnership from a position of strength in that it has a desirable asset, but a position of weakness with acquirers knowing Anavex -must- make a deal or take out massive levels of debt to fund manufacturing and marketing infrastructure.

So, I can see a $7B valuation but against a fully-diluted backdrop. For this to be a $200/share stock, chances are the company will need to find someone willing to pay closer to the $15-$20B range.

What makes you think anyone is accumulating?

More likely, it's people desperate to average down. More than likely throwing good money after bad but desperation calls for some risk taking. This will never get back to .10 again, more than likely it'll never see the .03 offering price again either. But if you're willing to go all in at .006 .007 to average down, then it is possible to come out almost even if you can bring your average down from .03 to .01.

Then again, it is just as likely that GIGL goes to .0001 and files for Chapter 11.

Agreed. Unless Joey is waiting tables, he's not earning his paycheck.

What exactly is he doing every day? Business stuff? Lol. The company has no money. He's got GMs and staff and others running the day to day at the locations. It's not like he can actually go out and do anything to generate future growth without money. So he pretty much sits around, reads the message boards (but pretends like he doesn't monitor social media which we know is BS because a few days after we laughed at him for not being smart enough to finish community college, he goes on an interview and explains himself --- coincidence? Lol).

Joey won't go to jail. He's too small time for the SEC to care about.

But, with enough posts from minor retail holders, he'll never be able to do business again. Anyone who wants to invest with him will google his name and read all about how he is completely inept. And he knows this, which is why he is trying to milk Giggles for as much as possible for as long as possible.

I can 100% guarantee that if WeFunder raises more than the minimum where he gets to keep the funds, but less than the amount needed to open a new location, that money will be spent elsewhere just like the offering money was. And by elsewhere I mean his salary.

Doesn't matter. The money was explicitly solicited from investors to be used for expansion. Just because there wasn't enough to actually fund a new location (because Joey is a moron who nobody likes or trusts) doesn't mean that the money should be spent elsewhere -- at the very least not without shareholder consent.

Either return the money and acknowledge the offering failed, put it into a separate fund earmarked solely for expansion and slowly add to it until there's enough to open a new location, or ask shareholders if it can be spent elsewhere for more pressing needs.

And to your point, dilution plus expansion is better than paying bills and no expansion. Or maybe the fact that Joey's business acumen is so horrible that his business cannot use cash flow to cover its expenses is another reason why nobody wants to invest in this company? And before you call this a "Start Up" and talk about how lots of companies operate in the red at first -- remember that Giggles is nearly a decade old.

Stupid people do stupid things. Joey has done a lot of stupid things that have destroyed his credibility and is going to send his company into bankruptcy at this rate. That's probably want he wants though.

"We just need much more investors willing to take a chance without the poison talk of the disgruntled investors."

Yes, and you can list lots of other examples of successful startup restaurants that Giggles n Hugs could emulate.

But there's one problem: Giggles n Hugs is being managed by a moron. Joey Parsi is a poor excuse for a CEO, and why would investors "take a chance" on a company whose CEO has a repeated and demonstrated history of overpromising and underdelivering?

Even worse, he misrepresents the facts: yes, Jillian Michaels -used- to be associated with Giggles. Is she now? If not, why is he using her likeness on the WeFunder ad? Even if it's legal, it's not an honest representation of the current state of affairs and future investors may believe that she is still promoting this company.

Here's the thing: Giggles never should have been a public company to begin with. The overhead costs are simply too great for the revenue driven by three locations. Joey admits to as much that staying public is costing the company a lot of money that could, and should, be used for expansion.

If Joey had issued an offering for new shares six months ago with the explicit purpose that all proceeds would be used for G&A, would anyone have participated? Of course not.

The only two reasons Joey went public prematurely are that he exhausted all other options of raising money privately, so he HAD to tap into the public market, or he was enamored with being the CEO of a public company.

He says he needs to make a living...well, making $200K+ for running two locations isn't my idea of a fair compensation. Do you think he's paying himself too much? If so, why would anyone else invest in this company?

Why would anyone else "Take a chance" on a company where the shareholders, who are the true owners of this company, have zero voice or voting power? When was the last shareholder meeting held where shareholders voted on issues? Etc, etc, etc.

There's only one reason to invest in Giggles. Its a good concept. But it's also one that is easily replicated, and poor management is going to take this straight to bankruptcy. At which point I think that is when we see the real shady activities begin to emerge where Joey and Phil still retain control, but the company is no longer beholden to the SEC.

I think so too. He can easily raise $1M-$5M based on his past success and his industry contacts. This is far more valuable to him as a private company. Publicly traded companies are expensive to maintain and if we are to believe Joey, that is where he said the offering money went toward.

This never should have gone public to begin with if there were fewer than 10 locations. It's way more valuable as a private company.

My bet is that Philip or Joey finds a friendly partner to loan the company money knowing it won't be able to repay, they file BK to escape their debts and work out a deal where new equity is issued to creditors ,who will turn around and rehire Phil and Joey and give them their shares back.

I don't think it matters much either way. WeFunder wasn't about getting money for a new location, it was about getting money so Joey and Phil can continue to collect an easy paycheck.

The offering money was supposed to be used for expansion. Just because it didn't raise the full $5M doesn't mean that the $400k or so it did raise couldn't have been earmarked for expansion only. But, it looks like most of the money was spent. So why should anyone think that this would turn out any different?

I like your optimism.

But if that were the case, then the $500k or so raised in the offering would have been sufficient to open a new location.

No, he doesn't have any deals in place. 99.9999999% chance that this time next year there will be two, or fewer, Giggles n Hugs locations in America.

Explain how $300,000 is enough to open a new location?

Parsi is on record saying that the cost to open a new location runs close to $1M, so unless he is planning to get the mall owner to fund 70% of build out, $300,000 is nowhere near enough to open a new location.

And while he claims he had a deal in place in Northern California at Tanforan for full build-out costs, does anyone actually believe him? I don't, and neither should anyone else with all of his other misrepresentations and over-promises that never materialized. He is also on record saying that renovations at Tanforan is the reason that deal fell apart. Really? The mall seems to be doing just fine right now, no other tenants are leaving because of these so-called renovations. It's all BS -- there are no major renovations that preclude a deal from happening; how come there is no news about these renovations online?

What is most amusing is that the amount Joey is seeking is not nearly enough to build a new location, but is just enough to pay his salary and Phil's salary, too.

Coincidence?

1. $270,000 isn't nearly enough to open a Giggles location. Parsi is on record saying that it costs about a million to open one, and that in the past he's been able to get about a 50% discount from mall owners. He thinks he can convince a mall owner to take on 100% of the risk, but the truth is Giggles isn't as big of a draw as he thinks it is.

Parsi only wants to be in higher-end malls and they don't need Giggles. They've already got Apple and Nordstrom and Neiman Marcus. The malls that are struggling, the ones that need foot traffic, are the lower-tier malls that Joey wants nothing to do with. This is why we have no traction -- Joey has zero leverage in negotiations with the mall owners contrary to what he wants you to believe.

So, let's suppose he raises $300,000. Do you really think that money will go toward a new location? Maybe if he hadn't spent the offering money he may have enough to almost open one up ... but that money is as good as gone and so will these funds be, too. This is a fundraiser to pay Joey and Phil's salary next year.

You're clearly in denial about your poor investment here. That's okay, it is a phase many go through. I remember when you bought in around .03. If you think this POS is going up, I hope you're right.

It's a wonderful idea being run by a bunch of liars and morons. That combination usually doesn't end well -- no matter what is written in the disclosures or spoken to placate the shareholders in some poorly worded PR.

In the WeFunder pitch, Joey promises an invite to a celebrity-studded meet and greet for $50,000.

Really? That's funny. When was the last time a celebrity was mentioned taking a kid to Giggles n Hugs? I'm not saying that it doesn't happen from time to time, but it's a huge stretch to think that Joey has the ability to bring in more celebrities after he's run off every other one who has been involved with this company.

"In addition to all the above you will be invited to our celebrity investor day event where you will meet with the entire management team of the company as well as some of the biggest celebrities in the country."

Maybe they'll all get together in Bahrain, or at one of the malls that has been "rolling out the red carpet" for Giggles?

Another Parsi lie, most likely. But then again, knowing Parsi, he'd raise $50,000 and spend it to hire a celebrity for the day because he cares more about that than actually, you know, running the business properly.

Parsi's not raising anywhere near a million. The idea of WeFunder is comical. It's a Hail Mary last resort and since it appears he gets to keep the money he raises as there's no minimum threshold (I could be mistaken so please correct me if so), it's more than likely that anyone funding this with hopes of expansion are really just funding keeping the lights on at the current locations so Parsi can continue to collect an overinflated salary.

Don't worry, this isn't going to get funded. I could be wrong but it appears this site is not like Kickstarter where if the full amount isn't funded, all money is returned to the backers.

If this is the case, look out. Just another way for Joey to fleece new investors into giving him money so he can pay himself an exorbitant salary. Similar to the offering that was supposed to go toward building a new location. Investors got new shares at .03, look at the stock price now. Hahaha. Do you think Joey has any intention of returning that money in exchange for those shares back? Of course not.

That money is as good as spent, if it hasn't been spent already (and not on a new location). Has anyone read the recent financials? Do they still have that cash on hand? Or is it gone?

Same thing here. Joey will get a fraction of what it costs to open a new location, but he will still spend that money on "other stuff." Like paying himself.

He's too stupid and incompetent to actually do this correctly. In his own words, $7M+ has been invested into this concept, and he has a measly two locations to show for it. Hahahahahahahahahahahaa.

I'll bet the WeFunder campaign doesn't raise more than 1/10 of what it will cost to open a new location. And that is being generous.

Go back and listen to the last conference call from September. Parsi says "we have deals being presented to us," and then a few seconds later he says, "we have no deals, there are no deals, our balance sheet is keeping us from making any deals."

See the lies there? If Giggle has been offered deals, just accept one. Except they most likely haven't been offered any deals, if we're to believe Parsi.

the guy is a poor excuse for an overpaid CEO.

Remember when he blamed Ramadan for the Bahrain delay?

This is no different. The community college dropout thinks he's the smartest in the room. Funny thing is that he claims having put $7M into this concept is some sort of accolade. Except the company is desperate for money which makes him a complete failure.

That depends. We have no way of knowing. It's possible Missling received some low-ball offers that would seem fair given where 273 is in development, but undervalued if it turns out to be legitimate. It's equally possible you're right that there is zero interest and that Missling was forced to go to vulture funds to raise more cash by issuing shares on the cheap (at the time).

All that matters is whether the drug works, and whether BP is excited about a drug or not has no bearing on its effectiveness. BP has been plenty excited about drugs in the past that went nowhere.

Betting on Anavex is gambling in the truest sense of the word. For ever world-renowned expert who signs on with the company and believes it could be the next big thing, there's another world-renowned expert who thinks its going to fail like every other Alzheimer's drug.

If the Rett's trial ends up panning out though, my guess is that it'll cause a lot of ears to perk up.

What is the point? Do you think that Community College Dropout Parsi is going to actually say anything truthful or sincere? Do you think he will be able to justify why he's worth $200k+ for running two stores? Do you think he'll be able to explain why he hasn't filed a form 4 indicating buying at these cheap prices, if this were truly such a great deal (and especially if he needs this to stay above a penny to avoid delisting?)

The reality is that Parsi is 100% content with making $200k/year to work in a part-time, Co-CEO capacity. If somehow he gets the money to expand, great, but if not, what does he care so long as the other two locations stay open?

The bottom is zero. Not saying it'll get there, but unlike other companies that have salable assets, Anavex's primary asset of value is unproven at the moment.

On the other hand, Anavex has significantly more upside than a company that is easy to value and model out based on future earnings growth rates.

Here's the thing: securing a partner is not easy. It's not like Anavex can go out to the partner tree and just pick one off a branch whenever it feels like doing so. Anavex needs to demonstrate that its drug works, beyond a limited 30 person trial where data can be cherry picked and manipulated. Not saying that's what Anavex was doing, but in a way it was as it attempted to determine which groups are most likely to respond to the drug.

BPs are notoriously risk averse because its billions of dollars at stake. Nobody's ever lost a job for not investing in the next big thing, but many have lost a job for investing in something that goes bust. They'd rather pay more for less risk than pay less for more risk. I'm sure Missling would love to partner but he's not getting any (or decent) offers right now. In time, maybe that will change.

Smart way to do it. It's impossible to time it perfectly without getting lucky, but the charts can give general indications of good entry/exit points.

Of course, with a stock like Anavex the charts are useless if/when data is released unexpectedly. But we have a general idea that we're not going to see Rett's data until early spring, and Alzheimer's data for much longer than that.

Tom -- I have a mental buy order that I will execute at 2.13, and another at 1.75, if they fill. small position for the first, medium size position for the second and I'll add 10% to my position every 10% drop in price from 1.75. these are trading shares though...not for my long term core account.

I think Anavex is going to be in for a bit more pain, both due to the overall downtrend in the unsustainable market (I;ve been saying for months we are due for a correction) and also because we are months away from any catalyst sort of news. Announcing more trial locations or participants is nice for a one day spike but the only thing that matters is whether the drug can pass a P2/P3 trial designed for efficacy.

I get what you're saying but Dr. Missling's job is not to appease traders. If anything, price volatility is bad for Anavex because it makes it harder to establish offering prices, etc.

Missling, in my opinion, hasn't done a great job but not for the reasons you mentioned.

At one point in time three years ago, there was a short cabal; people like Feuerstein, Michaud, Jean Fonteneau, etc. They're largely gone now, and I don't believe that the stock is being attacked like it used to -- name the last time Adam Feuerstein tweeted about this company? But, Missling didn't want to enrich them at the expense of long term investors who wouldn't want to stomach the volatility.

Wait, not what you signed up for? Sorry, I'm not buying it. This has ALWAYS been a zero-sum gamble and any reasonable investor should have known without even a bit of due diligence.

How else was this company's stock price going to go up if not on speculation of FDA approval? There are no other products or drugs that generate a revenue so every single quarter is going to result in cash burn and/or dilution via equity raises.

The only way this stock goes up is if people THINK that there will be approval in the future, or if approval happens. And that is the very definition of zero sum. Two outcomes, win or lose. Approval and you make money, rejection and you lose everything.

Not sure what opportunities you were hoping would present themselves to you? The only opportunity I can think of that means anything substantial is approval or partnership and both of those are long shots when the drug was being tested in a P2A safety trial without bllnds and fewer than 30 patients.

1. Giggles most likely is not going to come anywhere close to raising what it needs to open a new location ($500k - $1M) from this crowdsourcing campaign.

2. The terms are awful and any astute investor would avoid this investment based on the risk/reward proposition, even without considering Joey Parsi's track record of overpromising and underdelivering, his incredibly inflated salary ($200k+ for running two locations!?), his lack of business acumen and foresight, etc.

3. I don't know how WeFunder works, but if Giggles is allowed to keep whatever it raises even if it isn't enough to open a new location, it is highly unlikely that money will be put aside for future expansion. More likely, it'll be spent (i.e. going to pay Joey and Phil's salary). They didn't return the offering money, did they? Even though it came nowhere near what they needed...

4. Current shareholders are going to be screwed. It's unfortunate, because this is a great concept that is being run by an absolute moron and someone who misrepresents the truth -- Joey said he was stepping aside as CEO, then came back a week later as co-CEO? If Phil Gay didn't have the time to fully commit as CEO, that would have been obvious from the start. Joey "stepped aside" because he had no other choice as investors clearly weren't participating in the offering with him in charge. But guess what -- that's what they got.

I want this to succeed but I wouldn't recommend that anyone get near Giggles n Hugs, except maybe to visit one of the locations. The stock is on the verge of delisting and it wouldn't surprise me if that's what Joey wants -- less paperwork and oversight.

If he wanted this to stay listed he would be buying shares by the handful at these prices. The fact that neither he nor Philip Gay have been filling out Form 4s is telling, isn't it? You'd think if Giggles were such a bargain at under a penny they'd be the biggest buyers -- but their lack of action speaks volumes.

Exactly. Supply and demand. Right now there isn't much demand for Anavex. Nor should there be, at this moment. It's a risky stock. There is no guarantee the drug compound will work; history indicates it will likely fail though to be fair Anavex is doing all it can to prevent that (genetic testing, different pathway, etc).

If it does work, we're looking at very solid gains from here. But the market is more conservative and is valuing this company as a start-up with no revenue, which is also fair. The fun thing about this stock is that unless you're a trader the price is meaningless. It can be .0001/share, and the stock can be $30 the next day if the P3 trial turns out well. The drug compound's effectiveness is not dependent on the stock price. Similarly, it can be at $30 and fall to .01 in a day, too. It's a zero sum gamble right now.

Rett's -- Late Spring

Parkinson's - Late Summer/Early Fall

Alheimerz - Summer 2020

Stock continues to move in a downward trend, with no real support under 2.20. Should be interesting to see where this rebounds at, and if it drops below $2, how many shares are picked up.

If Joey raises $125k in this campaign, do those funds get returned since it is not enough to open a new location?

If he keeps the funds, does he HAVE to keep them in a separate silo to only be used for expansion?

Or, can he claim he needs that money for operating costs to keep the other two locations open?

Ask those who invested in the recent offering how they feel about their money going to expansion?

Yeah, he had to file similar SEC reports ten months ago, too. Read them and get informed.

$100 is certainly a realistic possibility, though probably on the higher end of the spectrum,. I am by nature more conservative with my valuations, taking into account the fact that a high purchase price will mean a high cost for the drug that is passed on to patients, and insurance companies are often reluctant to reimburse those high cost drugs -- especially those that are new to the market. And Anavex would be facing a "ticking clock" with the patent expiration.

As for Biogen, that is a good example but more or less an outlier. It also had the benefit of coming into its own right when online investing was taking off -- which allowed a lot more people to buy the stock. The larger market created greater demand which created higher prices. A lot of other drug companies saw similar growth between 1991 and 2001, though not all were able to sustain it like Biogen.

You're right, if other countries start to reimburse then eventually the US will too.

But that can take years. How long does the patent last?

It is in the insurers best interest to delay reimbursement until the generic hits the market. Sucks big time for those who need the drug now, but unfortunately money seems to be more of a motivator than helping others when it comes to insurance. Those companies will do anything to collect money, and anything to avoid paying it out.

What astonishes me is that there are lots of people here who aren't happy with a 1500% gain from current share price, and a 100%+ gain from the all time highs. The drug, if successful, should be worth a lot more than $3B to $5B -- I just have doubts that anyone will be willing to pay that much for it, considering that Anavex has zero leverage when it comes to being able to produce and market the drug without a partner.

You don't think when all is said and done Anavex will have issues it's max of 100M shares? I admire your optimism. But where do you think they'll get the money to run three trials simultaneously, with zero revenue, including an expensive P2/3 blinded trial with 100+ participants?

Clearly you should read again. I said fully diluted.

$3B / 100M shares does not equal $60.

You're right, to an extent:

Here's a question though. Whatever a company puts into buying/partnering with Anavex, it will need to recoup that and more.

Then we have issues of generics hitting the market after X number of years. And issues with insurance companies being willing to reimburse the high drug costs. Insurers are usually reluctant to pay out huge amounts for new drugs -- even if the data is clear that they work. It's a cruel industry to be sure but that's how it usually goes.

So we have a drug compound that might work much better than the current standard of care, but will people be able to afford it out of pocket? Or will the insurance companies hem and haw until the generic hits the market, and that is when they agree to reimburse it?

The cost of the drug is going to tied into the purchase/partnering price. I think a lot of people aren't looking at the business side of the healthcare industry, and are just assuming that insurers will automatically cover A273 the day it is approved. It usually doesn't work like that.