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That is so funny - when I started piecing the puzzle together I was thinking the same thing.
I really don't think we are giving them TOO much credit there, either - these guys have been around the block, and it is such a smart move.
Cautiously Optimistic on this theory ;)
Does anyone have any new news?
Have any of these companies been reinstated? (yet)?
Have any been formally charged or dismissed from investigation?
I am still long in one that has continued to grow tremendously, but it is still not quoted, and information is scarce. The company is so strong, though.
LEAT - Leatt-Brace Corp. - Just Another Victim of our friends at the SEC.
Very good point - possibly an advanced business strategy for improving the tradability of a stock at an opportune time.
If you have shares to add to the market I guess you have really two chioces -
1. Gouge people for as much as you can get OR
2. Choose a lower level to put shares out and make some happier long term holders.
If this is the case, and they have completed this offering (as evidenced by the substantial Ask Increase), then we could be in better shape than it seems.
Anyone who has really been following knows how thin the ask has been throughout.
GLTA
+129% we should go up, right?
I admit I am stumped at the trading today, though.
Sellers gone? Seems like.
Dilution over? Seems like.
(though I still don't understand why the company would dilute down here instead of higher, which is why I don't think we are accurate about the story)
Someone big ready for a run? Seems like.
and we could be getting any number of good news here soon.
still a very weird day.
It does seem that, once again, "They" were able to shake out lots of folks with that mess. It took (and may continue to need) a strong constitution to not GIVE away your shares in these recent days/weeks.
I have continued to be excited at the growth prospects of not just AFA, but of all of our groups - First Downs, remember?
(Watchfire would be a HUGE "CPG" to add as well)
As these (wealthy gentlemen) continue to work hard at getting CoMedia going the right way, I am more confident than ever that they knew what they were doing getting involved here, They have a track record for growing companies that can't be ignored.
As for the Rocket, the damned thing should just about be full of fuel by now, and it seems that we may have some open seats.
Even if we don't take off immediately, we are in countdown mode.
And I am Ready for Some Football!!! (Indy vs. Dallas on TV now!!)
We should be a very happy group of folks for finding this opportunity, IMHO.
With all this talk about "Chart" this, and "Gap" that, even though the company has had this symbol for <3 months, How is it so easy to cast aside this day whatever the volume?
We broke PSAR, laid down a nice green candle, and the longs know that this previous bottom was exaggerated and artificial.
We know where the PPS should and will be.
This day will be just a blip on the chart, right?
And FWIW, I think I can speak for most of us here that we won't panic whatever happens. Those folks are gone by now.
GLTA
11143 shares - and I'm not selling anywhere near down here.
Even after this "big" runup. lol
This is the craziest spread I've ever seen in a stock.
Ever.
.21x.60??? Crazy!!
For those who have not been following, the chart is more indicative of SPNI than CMTN - but, realize that SPNI is still fully functioning and growing, as are the other four subsidiaries of CMTN.
We still have an extraordinary management team, amazing distribution, licenses with the likes of Warner Bros., and one-of-a-kind products that can be purchased in stores like Sam's Club and Barnes and Noble.
Along with all this "Are You Ready for Some Fotball?" growth.
We have no idea how big this company really is yet, but anyone who does even an ounce of DD will see that we are legitimate, headquartered on Wilshire Blvd. in Los Angeles, and any of our Owners or Executives could buy our float at this price with what is in their bank accounts.
They paid a dollar a share for restricted shares a while ago, and they are probably not worried in the least - unlike those who are new to the situation.
All you see now is some bogus, misrepresentative chart.
We are still growing, and we are certainly more than a 6.27 million dollar company already. That, folks = an undervalued stock (buying opportunity).
GLT each and all.
Agreed it is a very rare and intriguing scenario. You and I know that the product and company is very real with a genuinely positive aura surrounding it.
It is almost as if it is a secret unbeknownst to "Wall St."
That is both a blessing and a curse, but there are some multi-millionaires who claim that it has saved them from paralysis and/or death, and who support it to the fullest.
That coupled with the fact that this sport NEEDS a feel good product like this one to counter the sport's Dirty Little Secret (paralysis) - It really feels like the right product for the right group of people at the right (litigious - saftey consious) time.
The AMA, FIM, etc. are surely paying close attention, and Leatt is the benchmark that sets the standard.
I have the utmost confidence that this group will continue to prosper and grow quickly, as more organizations mandate the Brace. A matter of when, not if.
We (may) be early, but I am sure we are right.
Congrats on the good buys, by the way.
On another way better note - James Stewart riding with a LEATT!!!!
I guess just another name on the long list, but admit - it is a pretty GD big name!
Dosen't look like it was fitted right the first time, but he should sooon realize the benefit and jump aboard full throttle.
His Brace looks WAY cool, too!! Check it out!!
http://www.motonews.com/mototalk2/showflat.php?Cat=0&Number=793004&an=0&page=0#Post79300....
"James Stewart had been fitted for a Leatt-Brace last week and rode one lap of Sunday morning’s practice with it on, but once at the track he’d opted to wear an under-jersey chest protector, which caused it to ride up higher than it had when it was fitted. He quickly decided to skip it for the weekend, but we may see him using it again in the future.
You may have noted a few riders wearing a Leatt-Brace without the usual strap arrangement, but in a couple cases they’re actually using something more “invisible” to hold it in place. Both Chad Reed and Ben Townley use headbands that loop under each arm and over their heads in a sort of X pattern. They then hooks the bands over a tab on each side of the brace at the top of their shoulders to hold it in place. "
I will give my opinion on the first question, and will do some DD on the second for us.
As for their Q2, The company has shown a precedent for their past Financial Reports in that they have been released within the first few days of the second month after Quarter's end.
Examples:
Q2 2005 (06/30/05) - August 04, 2005 released
Q3 2005 (09/30/05) - October 17, 2005 released
Q1 2006 (03/30/06) - May 18, 2006 released
Q2 2006 (06/30/06) - August 04, 2006 released
Q3 2006 (09/30/06) - November 10, 2006 released
Then came the SEC garbage.
I guess it would be easy to surmise that on or about August 04 looks realistic (soon), but I am actually hoping that they hold off on this one until there is more clarification about the trading situation. These upcoming numbers should be an Ace-in-the-Hole so to speak, and honestly, I would like to see a bigger audience who have had their mind put at ease as to these other "issues".
It would be great to see a Level 2 again, for example. I think we all agree there...
As far as Normal Trading goes, I will dig a while tonight again to see what I can find, but I can't promise anything substantial.
Will update soon....
The car brace (Moto-R) is what is next, and seems to be solid as well. Dr. Leatt seems to be associated with very solid people.
Yes, I agree totally. it was late February before Kevin Windham started wearing it , and the momentum for the product has not slowed one bit.
For those who have the braces, how long of a waiting list did you have to be on to get your braces finally?
Seems like they are only just now starting to truly meet demand.
Every time the brace prevents a (possible) serious injury, it is like huge free advertising. If I (as a parent) see someone wearing one and walk away from a hard crash, I almost feel obligated to have one for myself or my family.
This trend growth should continue. - Every product review I have seen on the Leatt-Brace has been 10 out of 10 or Five Stars or whatever the top rating is.
Good News, Good News, and more Good News. How does NASCAR sound to you boys?
How about setting a new standard for H&N restraints?
The other guys are scared to share their data.
http://www.vitalmx.com/features/Vital-Buzz-71707,1630
From the above article (07/17/07)
Speaking of Leatt, we spotted Leatt’s Geoff Patterson with one of their new Moto R braces at Unadilla, which is designed for four-wheeled racers. They now have plenty of motorcycle braces in stock, and are looking to expand their support and marketing efforts into the four-wheeled realm. Geoff told us, “We’ve been working on a race car brace for the last few years and we’ve got it SFI 38.1 certified in October. We’d planned on bringing it out in February, but because of the huge run on the motorcycle brace we had a little bit of a delay. We’re currently looking at NHRA, SCCA, ARCA, and we’re also sending a few braces to NASCAR. They’re really excited about seeing it. We’ve talked to a lot of people within NASCAR that would like to see it and try it.”
“We’ve been told by the SFI Foundation that the brace is really redefining the way head and neck restraints systems are being measured because of the 360° table that originally came from the motorcycle brace. The design on the table originally came from the motorcycle brace, but the back incline of the rear table is for rearward whiplash. The car brace works on extension, rather than compression in the motorcycle brace. So if you were thrown backwards, you’d want your head to hit the back of the brace, rather than nothing behind you. Most racecars have highback seats, or they have a number seven bar on the back to protect from that. We integrated that part into the brace to protect you from that.”
The Leatt Moto R brace. It's about 180-degrees different from the Moto GPX brace that we're used to seeing.
The Moto R also has some interesting features compared to other head restraint systems used in car racing, using a very different lanyard arrangement to restrain the helmet from forward motion in case of a hard frontal impact. Geoff explained, “We passed the Delphi testing at a 50G impact without a lanyard attaching the helmet to the neck brace. But in order to pass SFI certification, you need to have numbers below their passing standard at 70Gs. So we designed a lanyard that works off the base of the helmet, and you do not need to drill holes through the helmet, so there are no modifications required. Most helmet manufacturers do not like holes being drilled through the shell. There’s a big difference there. Also, because it attaches from the base of the helmet, you can turn your head left-to-right much more than you can with other systems because the pivot point is at the center of the brace at the base of your helmet.”
"They" can have their percieved values, and we can have ours and we can agree to disagree.
You still aren't stealing my shares from me because a chart looks funny, though.
I'll See you at true valuation, but it sure ain't down here.
(LEAT) Leatt-Brace Saves Another Life:
"Posted - 05/24/2007 : 2:52:14 PM
--------------------------------------------------------------------------------
Four Small Leatt Neck Braces Will Be Givin Away This Weekend At The Riders Meeting Before The Guy Cooper Classic Races At Cooperland.
The Leatt Neck Brace Saved Garet Bolton's Life On May 6th 2007 At Cooperland. Garet Will WALK Up And STAND Before His Fellow Racing Buddies With A Broke Back And Give His Testimonial About What The Leatt Neck Brace Did For Him.
Dr. Leatt Engineered This Brace In An Effort To "Keep MX Riders Alive And Out Of Wheelchairs." Garet Is Living Proof The Leatt Neck Brace Does Exactly What Dr. Leatt Created It To Do.
We Want To Thank Everyone That Helped In Making It Possible For Us To Have These Leatt Neck Braces To Give Away This Weekend. A Special Thanks Goes To Michael Lawrence With P.T.I. Racing and Zack At K&N Yamaha.
Please Make Sure You Wear Neck Protection When You Ride
Posted - 05/24/2007 : 5:39:11 PM
--------------------------------------------------------------------------------
Chuck ~ we can only speculate on why Dr. Leatt is choosing to do what he is doing. We are not in his shoes. However, I know one thing for sure, Garet was contacted by Dr. Leatt himself as soon as he became aware of Garet's accident. He had his In-House Crash Engineer, Grant Nelson to contact us. Mr. Nelson contacted us that very day.
He ask us to help them better understand the biomechanics at play in Garet's accident by completeing the Leatt accident assessment form and sending them Garet's CT Scan, MRI Report and discharge orders. We got the feeling from Dr. Leatt and his In-House crash engineer, Grant Nelson that they are VERY concerned with improving their product in an effort to keep mx riders safer.
This was just our personal experience. I am sure Dr. Leatt is a very smart man and therefore, he will protect his investment of the Leatt neck brace. "
Good Stuff.
(LEAT) Leatt-Brace Saves Another Life:
"Posted - 05/24/2007 : 2:52:14 PM
--------------------------------------------------------------------------------
Four Small Leatt Neck Braces Will Be Givin Away This Weekend At The Riders Meeting Before The Guy Cooper Classic Races At Cooperland.
The Leatt Neck Brace Saved Garet Bolton's Life On May 6th 2007 At Cooperland. Garet Will WALK Up And STAND Before His Fellow Racing Buddies With A Broke Back And Give His Testimonial About What The Leatt Neck Brace Did For Him.
Dr. Leatt Engineered This Brace In An Effort To "Keep MX Riders Alive And Out Of Wheelchairs." Garet Is Living Proof The Leatt Neck Brace Does Exactly What Dr. Leatt Created It To Do.
We Want To Thank Everyone That Helped In Making It Possible For Us To Have These Leatt Neck Braces To Give Away This Weekend. A Special Thanks Goes To Michael Lawrence With P.T.I. Racing and Zack At K&N Yamaha.
Please Make Sure You Wear Neck Protection When You Ride
Posted - 05/24/2007 : 5:39:11 PM
--------------------------------------------------------------------------------
Chuck ~ we can only speculate on why Dr. Leatt is choosing to do what he is doing. We are not in his shoes. However, I know one thing for sure, Garet was contacted by Dr. Leatt himself as soon as he became aware of Garet's accident. He had his In-House Crash Engineer, Grant Nelson to contact us. Mr. Nelson contacted us that very day.
He ask us to help them better understand the biomechanics at play in Garet's accident by completeing the Leatt accident assessment form and sending them Garet's CT Scan, MRI Report and discharge orders. We got the feeling from Dr. Leatt and his In-House crash engineer, Grant Nelson that they are VERY concerned with improving their product in an effort to keep mx riders safer.
This was just our personal experience. I am sure Dr. Leatt is a very smart man and therefore, he will protect his investment of the Leatt neck brace. "
Good Stuff.
We need ETRD and SBSH to get involved - again.
MICA is just getting in the game!!! Look at this:
http://www.otcbb.com/asp/tradeact_mv.asp?SearchBy=issue&Issue=cmtn&SortBy=volume&Month=6...
This is a great utility for all your stocks, but it is real cool for LEAT. Looks like The DOM(s) has been accumulating.....very good.
Look at this link.
No dilution - hardly any selling at all, but surely the MM's are making out on the spread.
They are surely primed for a run, though.
http://www.otcbb.com/asp/tradeact_mv.asp?SearchBy=issue&Issue=LEAT&SortBy=volume&Month=6...
GLTA
This track is making the Leatt Brace MANDATORY!
http://www.dsmotoplex.com/
Leatt Brace Product Video Review from Motocross.com.
The Brace was rated a 10 out of 10. Again.
http://www.motocross.com/entity/video/VideoPlayer/3023.html;jsessionid=1018AEE743B4A94F7EBE88C388F65...
Check this out too about the Woo Agency - Looks to be a good fit.
Woo Agency Teams Up With DISH Network(TM)
22-8-2006
CULVER CITY, Calif., Aug. 21 /PRNewswire/ -- Woo Agency is launching a multimedia ad campaign for EchoStar Communication Corporation'sCelebrating the start of the 2006 NFL season, the national campaign features prominent NFL player Tiki Barber throughout the brand's television, radio, and print advertising, championing the rallying cry, \"I want football 24/7.\" This campaign will also be integrated on a local level in key markets using regional NFL stars including Dallas Cowboys' Drew Bledsoe, Tony Gonzalez of the Kansas City Chiefs, and Marvin Harrison of Indianapolis Colts fame.\"We chose to work with Woo Agency because they know what it takes to develop fully integrated programs that drive response and create awareness,\" said Jody Martin, senior vice president of Marketing for DISH Network.Woo was responsible for all creative duties on this project, from television, radio and print, as well as guerilla tactics including street teams and upcoming local events. Select media was also bought by the agency.More information on DISH Network's total football package can be found at IWantFootball24-7.com.About Woo:Woo Agency is a Culver City-based ad agency specializing in brand and response-driven advertising. Present and past clients include Gateway, Tire Pros, Good Guys, The Coffee Bean & Tea Leaf, LA Fitness, Gold's Gym, Fatburger, Winchell's Donuts and Mattress Gallery. Client work can be viewed at www.wooagency.comCONTACT: Laurie Shiers of Woo Agency, +1-310-558-1188, ext. 302,Web site: http://IWantFootball24-7.com/
forgot to post the link - It is a much bigger library than I expected - some very interesting titles in there.
http://www.thecomediacorp.com/docs/REQ_AUDIO_RECORDS_Catalog_2007.pdf
Makers, did you see Re-Q's 2007 Catalog?
60 Pages of Christmas gift ideas.
The only way "they" could get enough shares was to get the weak ones.
Man, they are good at shakeouts.
When the market puts this at true valuation, we should get there quick.
We have 5 subsidiaries that are improving every day.
& Watchfire seems like a strong organization if that goes through.
I like it.
.80 is a pittance - can't have my shares for twice that amount.
Football season is fast approaching. Are you ready for some Football?
Now you see the frustrating part. It is more likely your broker not working hard enough for you.
If you can't buy yet, keep it on watch and buy when it gets represented again - should be a near-term pleasant surprise.
I have a gut feeling this is being heavily accumulated here, too, so good luck getting shares low in the "spread".
GLTA
CMTN 60 Page Catalog from ReQuest Audio:
http://www.thecomediacorp.com/docs/REQ_AUDIO_RECORDS_Catalog_2007.pdf
GLTA
Oh yeah, as I look through that, it's BIG!!!!!
60 Pages!!!
Don't know if this was posted and I missed it, but on CoMedia's site...
View The 2007 ReQuest Audio Catalog Here:
http://www.thecomediacorp.com/docs/REQ_AUDIO_RECORDS_Catalog_2007.pdf
And WOW this is in Motocross Action Magazine
The Art of Cool
"How else could anyone explain it? Along with gear companies upping the ante on their designs (pinstripes, hounds tooth, and camouflage, just to name a few of the outrageously loud patterns that have sprouted up over the past year). Boot companies created graphics, helmet companies improved graphic overlays, and the Leatt neck brace was introduced. And while groundbreaking designs take time before becoming cool (think of the Fox barbed wire gear from the early 1990’s before Damon Bradshaw wore it), suddenly these things catch on and burn like a gas fire through the industry. Kids are able to dress up in swirling blue and red patterns like their idol, James Stewart, and adults can have stickers made of their last name so that they can plaster them on their gas tanks. Leatt neck braces have become all the rage, and for great reasoning. Not only are they designed to limit compression of the spine in the event of a crash, but also they make riders look like true warriors as they buzz around the track. Not to mention that Leatt graphic kits are now available from a slew of different companies.
My coolness came back because of my job, now that I think about it. How else could it have resonated once again? Every day I consider myself fortunate that I’m able to receive new products for free and months before they see the light of day in the public’s eye. I hedge my bets on what’s cool, such as the boot graphics, plaid motocross gear, and Leatt neck brace. Hence, coolness and I have become one again.
http://www.motocrossactionmag.com/ME2/dirmod.asp?sid=&nm=&type=news&mod=News&mid=9A0...
BTOSports.com has stopped taking orders because their wiating list is too long.
They're 400$ a pop and selling like candy.
Unbelieveable.
From a column 07/06/07 in RacerX magazine:
Dating back to the Budds Creek race a few weeks ago, history was made during the phenomenal second moto battle in the Lites class between Jason Lawrence, Ryan Dungey and Josh Grant. Rumor had it that Grant’s Leatt-Brace had fallen off during the moto, so we asked him about it at Red Bud for the Racer X Webcast on Motocross.com. Turns out it did happen, as he and Lawrence collided in a corner, Lawrence’s elbow hit the clip on J-Grant’s brace, knocking it loose. You can actually see the result of this on the Speed coverage of the Lites show, as Lawrence hits Grant from the left side, and when they come back into view, Grant’s brace is hanging off. Grant actually passed Lawrence back but eventually dropped off the pace.
“I felt naked riding without it,” said Grant, which means the neck brace has become as common to the riders as knee braces (most pros won’t even ride a bike without wearing those).
http://www.racerxill.com/articles/detail/2174/racerhead-27.aspx
GLTA
Agree 100%
Those of us true longs who have accumulated a strong company realize that this could be trading much higher on valuation - let alone growth.
We have distribution other companies only dream of at this stage.
Think about how much smart money has already paid a dollar a share. Alot of smart money.
GLTA & Here's to CoMedia Corp.
You are not the only one who loves the brace - as I am sure you are aware. That is why it is just a matter of time.
All of this other stock nonsense really dosen't matter in that regard, because in the end the product and brand will carry the day.
Being that you are in the sport, don't you honestly see at some point in the near future the AMA / FIM maaking "a product like this one" mandatory? These groups are tired of all the injuries also.
Took a while for helmets - then closed face helmets - and it is certainly no guarantee that it will happen soon, but there are really no guarantees anyway.
They have sold enough of them and still have a looooong backorder list to justify this price.
On the stock side - if everyone is watching a stock and cheerleading - that is usually a stock to avoid as that is recognized as "time to sell"
You want to be ahead of the crowd - that's how you use your brain to make real money in this game.
You have seen how many pro riders are wearing this thing, and as far as has been let on, Leatt has not paid any of those guys to wear one. That speaks volumes.
By the way - PPS = Price per share (stock price) and P&D = Pump and dump - a common practice in penny stocks that you want to avoid.
Quick example of a P&D:
Bob's finance buys 100000 shares of CompanyX.
Bob's finance then sends emails to everyone telling why CompanyX is the best thing in the world, and as others buy and inflate the price (PPS) Bob's finance is selling selling selling - all at a quick profit.
Bob's finance is on to the next stock while shareholders are left scratching their head during the imminent price drop.
Evil stuff.
Have you crashed hard with the brace on? (hoping not, but...)
Rollem,
I am just patiently waiting for the truth to be published on the company, but think about it - it is a pretty unique situation.
A new growing company goes public to raise capital, and on the stock side, they get hit with a PPS killing P&D, and blindsided with an SEC halt.
On the product side, though, they have increased production several times, can't keep up with demand, and still have a six-week waiting list and another product on the way, and due to things beyond their control - they really don't need stocks anymore.
They are proud of what they have done, and they will let everyone know - but at this point they have the money, time, and opportunity to do the financials right and get rid of the pinky stigma.
The numbers are there, the brand is strong and growing worldwide, and things are in the works to improve their public standing (on Wall St.)
This is a rare opportunity to get in ahead of the crowd. Not a junky pinky opportunity, but a REAL one. No one is watching.
The time will be soon. The hard part is over.
GL
Hi again, all - been busy, but good to see a trend reversal.
All we are really looking for is a more accurate PPS representing the current and growth status of CoMedia. That's all. If we get that, we should all be pleased.
Add my 10,200 shares onto the list.
And as always I wish I had more. Good Company.
GLTA
Thanks for your posts and your concerns - Maybe I can help?
Let me preface this by stating that anything I say or have said in the past I have provided links to - so as others can verify. If you want a link to a specific comment or resource, just ask. I have them all.
If we are to make an informed decision going forward, I would love for you to share the same courtesy as you have made some comments that are difficult to follow and verify.
Leatt-Brace Corp had a round of initial financing when they first went public from a "shady" group of investors. From IPO, the price dropped quickly as the company was just getting off of the ground.
Shortly thereafter (if you follow along on the chart with me) on or about 02/21/2006 LEAT appeared on a P&D site called "RocketStockPicks.com", along with all of the spam that coincided with that group. They are frontloaders, and were insinuated to be a part of the financers for Leatt.
On 04/17/06, the company appeared on that same site for another Pump before their final Dump.
Later that same month, Leatt was contacted by the SEC regarding their (Rocket's) spam campaign. Leatt wrote a letter to the SEC explaining that they have no knowledge or association with the spammers - and no action was taken.
On 05/31/06, the company's contract with said financiers expired, and no major spam campaigns have happpened since. Leatt was glad to be out from that contract - but it had wrecked their stock price and their credibility to an extent.
Cut to late 2006 - the stock price is in an uptrend as word of the product and company expands. The Brace starts to save lives worldwide, though penetration is sporadic. The brace works Very Well, though.
The young company touts the research grants from BMW, KTM, and Wings for Life as well as the incremental successes as riders and physicians alike sing praises of the Brace. If you have one it is hard not to agree that it is a great piece of gear.
It saves Marc Coma's life. And many others.
The company does it's PR's through Pink Sheets.com. It also paid extra to Pinksheets for the Level 2 montage provided from Pinksheets on their quote screen. Not many companies do this.
Cut to February, 2007 - David Bailey. If you are a racer or a fan you know who he is and his circumstances. He (though paralyzed from the waist-down, and recently had a near death experience from an infection) sits up in bed and does an IMPROMPTU video touting the brace and the safety and quality it provides. He does this because the product is so unique and amazing to him, who has been hurt and continues to see friends hurt in the sport.
He knows nothing of the company, or of Dr. Leatt, but he sure sees the benefits and lets the Moto world know like only he could. It was the perfect storm.
Within the next month, (and it really continues to this day) word travels like wildfire. Message boards are FLOODED about the brace. It is HUGE news. The video is called by MANY "The Most Important Video interview in the Sport's HISTORY" because of the impact it had and has on the saftey of the riders.
Nike or some other company would have probably gladly shelled out $30 MILLION easily for THAT kind of advertising. It Set Message Boards Worldwide on FIRE!!
Leatt had just gotten 30M in tremendous advertising FOR FREE!!!!!!!
And it set the stock price in motion. You see the run.
Now let's get to the MOST amazing thing about that run. It wasn't caused by scammers , flippers, P&D guys, Stock message boards or anything like that - It was caused by THE MotoCross Community and their parents and friends and sponsors who many of which know nothing about a stock or market for that matter.
I (no exaggeration) must have read 30+ posts from message boards around the world of people wanting to know how they could open up a stock account and buy stock in Leatt Brace. Moto guys it seems are not traders. Everyone wanted stock here - because the video hit home - and Bailey was right. They wanted to INVEST!!!!
Wall Street was not a part of the run, and still has not jumped in (financials).
Cue the SEC. The SEC seemed to say:
"What in the hell is going on with that Leatt brace stock?" "Looook at that run!" "Do you know of a reason for that run?" "Well we investigated them for spamming before - that must be the case." "Lets include LEAT in that list of companies that we are gonna investigate for spam because we have no idea what is going on here."
The SEC was wrong. David Bailey was right. Once again, no further action has been taken.
Since the SEC stoppage - you have to admit the stock has held EXTREMELY well. LEAT has traded like the float is tightly held since it's inception, and there has NEVER been any evidence of dilution.
From their First financial report (06/23/2005)- "Issued/Outstanding shares: 109,716,780"
From their most recent report (09/30/2006)- "Issued/Outstanding shares: 110,589,002"
It is pretty obvious that no dilution has happened since either. Since the video, the company has more money than they know what to do with probably. They were only ever about a million in debt, and that INCLUDES deferred taxes. I don't just think they are profitable here, but I think they are VERY profitable here.
As for a lack of PR's - It is obvious they were Blindsided by the SEC - which also caused the Pinksheets to Not Allow them to post news or financials since the stoppage. The company has also been bombarded with orders - it is fair to say that they have been EXTREMELY busy - what with their worldwide distribution network and all.
As for Burlington and those guys, I admittedly have not done as much research into that group - but even if some dirt was dug up, I have no concerns at all.
My only concern at this point is valuation. As it sits, the company is sporting a $42 million Market Cap. This even after the SEC and lack of financials and information since. That should show it's strength, though, also.
If I were to give an educated guess on revenues, I would venture that fourth quarter 2006 was about 400K, First quarter 2007 should be in the neighborhood of 2.5 to 3 million, and this quarter between 8 and 10 million. That is amazing growth, and it should continue for a long time barring anything else unforseen.
They are gaining exposure to their market daily.
I think the patent battle with Alpinestars is big, but not catastrophic should they lose. They were first to market and have made one heck of a product. It is a tough act to follow. They have a Brand and major support from BMW, etc., as you know. Also, it is a very good sign when other companies try to replicate your product - This is a well-known business caveat.
There are alot of investors in LEAT who won't sell as they know the product and the truth very well - and the float remains tightly held.
The flag has formed, though, and WHEN Leatt decides they are ready to let the world know the truth, it will be shocking to those who haven't followed.
I know this has been a long story, but it is the timeline of this stock as I have been involved. I greatly appreciate any added info on the situation as it is, but if you are here to bash, I've got lots of ammo.
This company is one of the best stories in the market, imo.
Looking forward to your comments,
Royal
We've got new Investor Contact info. on CoMedia's website.
And a reference to an upcoming FAQ page.
FYI - GLTA