Disclaimer: All of my posts/comments represent only my personal opinion and should not be interpreted as professional advice under any circumstances
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That will take years. They dont even qualify for QX at these prices. It will take minimum a year (and thats aggressive) to get to .25 cents. They need a short cut if you will. Merger or RS is the only way and RS seems to be out of the question unless of course someone sees another way?
I didnt realize you suspected that the company was going to go QX then senior. Do you have any idea what company will be part of the M&A?
Ok, I will be adding that to my list of questions I am going to be asking IR. I will be putting in a call today to see what they say. Is there anything else I should know or ask about while speaking with them?
Thats not good. Have they offered reasons why or any explanation?
Have they ever met a deadline? Seems habitual at this point? Am I wrong?
Thats one of their selling points. Superior wicking and antimicrobial
I agree thats why a QX uplist as a stepping stone makes sense. Should have seen that
That is actually part of the NYSE requirements. They might have quietly been working on those requirements the whole time leaving the pps last. In fact the CEO's letter specifically mentions improvements in certain metrics as he referred to them. Its actually very smart and I should have seen it. Does UATG or UAT have ANY relationships with ANY QX company in ANY field? I will start looking at QX companies. It will be one with the exact same cap structure because they increased the A/S to a specific number intentionally. That would make an M&A transaction simpler. Any company with 1B A/S and a similar preferred series structure could be a potential match. It will most likely be a company that either has tech that UAT wants or could use or a company that needs UAT's tech. It could be ANY tech that UAT has so we shouldnt focus strictly on Hygieia. That may be a distraction they are counting on. Either way. they must be VERY close and once the announcement is made we might not be able to capitalize on it.
Good point although in my opinion it would be an unnecessary step but who knows. It would make sense that they were going QX if they're auditing the company but they still have to fight their way up to a few dollars to go senior unless they are merging with a QX and then uplisting? That makes much MORE sense because in order to merge with a fully reporting QX company without the QX company losing its reporting status they would have to be fully reporting prior to merger! That actually might be it!
Because in order to increase the pps without a RS you will have to trade your way "up" to a higher pps. With all the shares out and the historical volume at lower pps it could take a few years just to get within range of being at NYSE or NASDAQ minimum requirements. Just think of all the traders that have bought subpenny. What do you think they are going to do as the pps increases? They will sell resulting in a lower pps. It will be a vicious cycle and VERY slow climb to $2 pps. I am not sure what to think but maybe its a combination of a few strategies. I will consult with a few friends and get their take. No matter what this company is making a move towards something. Just need to get ahead of it to capitalize on it.
Very interesting. Going back two years is a very specific time-frame and interesting considering that is one of the requirements of being fully reporting with audited financials on the QB and QX. Maybe a merger is not what they re doing. Maybe they are cleaning up this company and THIS ticker although that would make the path to increased price per share more difficult. Very confusing company. Seems intentional
Good to see you are back. I have a few questions in private if you dont mind?
They are obviously referencing the other products they are coming out with which makes sense. They are preparing the packaging ahead of time. At least they learned from this time around of being delayed.
That was because of the shareholder from this board that went on Facebook and started cursing about UATG pps. I saw the post. They told him to send complaints to corp and to comment about UATG on UATG Facebook page not Hygieia page
READ THE REPLY. PAY ATTENTION! It VERY clearly says that the "HP line is imminent". The only thing pushed to next year was the Pillow. Sheets were always coming out next year. This is not new.
This also highlights my point about delays being intentional. Why is the pillow being delayed when we have in fact seen pictures of the pillow and apparently everyone in the company has one and loves it?
I do see that but this was via a 3a10 based on a contractual debt from a corporate acquisition 3 years ago. The company knew the debt was owed and "arranged" to have it settled the end of last year. Why? Why not the year before or the year before that? Why not the end of this year? Doing it last year gave them this entire year to stabilize the price down or at lower price. Why? It has been my experience that very rarely are things coincidental or simply just by accident when it comes to companies whos sole purpose is to earn profit and become more valuable. This company is more sophisticated than I think they try to lead on. From their accounting tactics that down play revenues or progress, to consistent delays in meeting goals which seem coordinated, to the small social media insights that shows us they are further along than they say (no where in their financials does it show the purchase or inventory on a manufacturing facility yet they clearly own sophisticated equipment), to keep access to "cash" off books for when they need it and then of course there are the Chairman/CEO's letters. The man at the helm is not stupid as some here have suggested. That is obvious in not only the way he writes but the level of vocabulary and understanding of the public markets he clearly has. It just seems very intentional and like they are intentionally holding back. I have seen companies hold back but never like this to this extent. Its almost as if they want the company to look undesirable in some ways or just barely desirable. What could possibly be the reason for that?
I agree that their website and Amazon store front needs to be a part of that presentation and is in desperate need of upgrading
No. They can borrow regardless of the AS. Now if the company is savvy the can offer a dividend and force the shorters and market makers to cover. Im actually surprised they havnt done it already
I dont agree. Presentation is important and we dont know what the added costs are. I also think its unfair to assume that the company didnt take into consideration the costs when determining the retail cost. When it comes to premium brands the packaging is the presentation and the presentation is part of the consumer experience. Thats the reason high end time pieces come in hand crafted boxes with precious medals, Rolls Royce goes to a customers home to demonstrate new models and even assist in a build out of a vehicle, high end cognacs and bourbons are presented in handcrafted rare wood boxes and in fine crystal decanters such as Lalique and Baccarat, etc. presentation matters, always. Just think about how the presentation of the products you buy effects your perception of those products
I dont recall them mentioning holiday packaging and cant find that announcement anywhere. Can you post the link please?
I heard about the company and a few others a while back. It took some time to due DD on them but in the end I thought it might be a long shot that pays off. The company had a few articles written about it in the defense sector which I invest in. I agree with you on pink sheets being a gamble. I have own/owned some other OTC securities (RHHBF, VLKAF,BAYRY etc and thought UATG might be interesting. I think I was right. We will see
Look closer. Boxers are in the picture! I see your point on cost but I am sure the company got favorable pricing and considered that into COGS.
I understand that you dont like the company and have many issues with the company but to complain about the packaging is missing the point about the attention to detail and progress that has been made over the past few months when many implied the company was a scam or doing nothing.
With all due respect, I think you might be missing the point. The company is very clearly doing a lot behind the scenes. They are in fact working and making progress. It sort of contradicts what a few on here have been saying about the company. The company is progressing regardless of speed and timing
These guys may take a while to get it right but they obviously do not cut corners when it comes to quality! The socks are very high quality and now their high end line is packaged to match the quality!! Very impressed and happy with this companys deliverables. I am sure the pps will be going up over time.
New Facebook Post!!! Pictures of packaging look amazing. Very impressive!!! Very high end!!!!
CEO said they are not increasing AS. Apparently hes said it many times for the past several months.It is odd that a company would seemingly increase their AS (late last year) and then max it out (within months) without another increase. Why was the one billion AS number so important to go to and then not pass? They could have just as easily gone to 1.5 or 2B without an issue. Why increase AS to a number you knew you were going to max and no longer have ability to raise funds via equity? Has anyone asked the company these questions? I have never seen a company do this and it seems very intentional but I can not imagine why?
Anyone else notice that the financials list a legal firm that is known for uplisting as their legal counsel? I really would like to speak with Gordo56 if anyone can ask him to message me?
Sorry I have been stuck at a conference most of the day. No I have not heard from Gordo56 yet. Has anyone else here herd from him?
Laws changed a few years back and it was not in our favor. Disclosure is actually less than it use to be. There are new laws being worked on by the current administration that are requiring much more transparency. The previous administration favored control over transparency although the control and limitations they put in place did little to protect an actual shareholder. It did however make it easier to leverage and make more money for market makers and institutional investors. I wouldnt worry too much about it other than to understand how the market actually functions and how your money/investment is really not secured as many might believe. At one point they could even leverage your entire account at a multiple, including funds you had "on deposit" to purchase securities! Now its more difficult for them to leverage although its still done through a different mechanism at a smaller leverage multiple.
I dont think they can "keep" the price down per se but they can down play their progress so the market doesnt respond favorably. This is probably so effective because of the time of year due to upcoming holidays. Trading will start thinning out after Thanksgiving and eventually move at a snails pace by mid December. Many brokers take the entire month off and some dont really come back until mid January. The real question is why would they want to down play their obvious progress. As far as I can tell the company never made any money until end of last year so making over $90k a month should be something to brag about especially when you look at the debt reduction over the past 14 months. Very strange. I messaged Gordo56 because he seems to know a lot about the companys history and I am especially interested in his theory of a merger but he has not responded yet. Anyone here speak with him?
All monies have been accounted for in the most recent Q but the accounting techniques they use put the company at a negative and serve to down play their progress. I have to assume this is intentionally being done for tax liability management but what is interesting is how they account for their assets which are fairly substantial for a subpenny stock. If I had to guess, they either have or are shopping for institutional financing/investment and it is most likely substantial considering the way they account for deficits. If I had to guess, they are looking to line up a couple million in financing. They might already have it but there is no way to tell until the capital is deposited into corp accounts and accounted for. Maybe next Q will tell more but more likely Q1 2019 like most companies do. Starts the year off positive and builds pps momentum. Regardless, the company is definitely managing the perception of their financial disclosures to look less impressive. I had not noticed this before and will go back and review the previous Q's over the past 2 years to see if their accounting methods have changed for that purpose.
Cede & Co is widely misunderstood. No more evident than in the comments made here about them. Hopefully I can help.
First you need to understand that in this country, publicly traded stock does not exist in private hands (mind blown, I know)
It is not owned by the "owners", who, have purchased shares in a company. That is because technically, what you really own is a debt instrument or an IOU. The true ownership lies with a DTC partner.
Private-company stock is however directly owned by shareholders though.
Almost all publicly traded equities (as well as the majority of bonds) are owned through a partnership, Cede & Co., which is the nominee of the Depository Trust Comany (DTC is nothing more than a depository that holds securities for approximately 600 broker dealers and banks). For each deposited security, Cede & Co. owns a master certificate or what they refer to as a "global security" which never leaves a vault. Transactions are recorded as debits or credits to DTC members securities accounts, but the registered owner of the securities, Cede & Co, remains the same.
What you as a shareholder/investor actually have instead of direct ownership, is a contractual right against your broker. The broker then has a right against the depository institution where they have membership. Then the depository institution is obligated to the issuer. This creates a 3 step process before you get any rights to "your" stock.
This is where it gets really complicated.
This reduction in straight forward property rights makes it impossible to maintain 100% accuracy of who owns what. It would scare many shareholders to know that discrepancies between the records of various counter parties occur EVERY day (they are usually resolved without an issue). In a crisis, when liquidity dries up and the system comes to a halt, discrepancies could potentially result in securities that are outstanding as opposed to those that have been actually issued. Why is this a problem? This creates the potential for some investors to be out of pocket, with nothing to show for their purchase or investment (dont panic yet).
As regulated and mandated, within a 3 day period to settle, securities cross the balance sheets of several intermediaries. If one of those intermediaries becomes insolvent and fails (Lehman Brothers or MF Global ring a bell?) then an investor who was under the misguided belief that he or she was buying 100 shares of AAPL finds themselves instead in the position of being the creditor to a bankrupt firm. Its so much of a mess that 10 years later they are still trying to figure out what companies Lehman Brothers actually owned.
Dont panic, these types of collapses are not common or frequent but it does put a point on why so many of us are not a big fan of DTC. Why the exchange is still done this way goes back to the 60's and that is a very long explanation about the switch from paper to electronic book keeping through the regulations enacted in the 70's. I dont have time for that right now and its off the point.
This matters because this is how market makers "borrow" against YOUR stock to create a market even though at the time they might not have anymore of a particular stock. An example would be that a firm or market maker like Maxim Group out of New York might have sold all their shares in UATG but in order to "create" a market they need to buy or sell shares. How do they do that? Simple, they find someone else who has shares in UATG (on deposit with DTC) and essentially use YOUR holdings to "borrow" against. Essentially borrowing your assets without your permission (they dont need permission, they are market makes with direct access). Dont worry, once the sale is settled and comes full circle (market made) then the "register" is balanced. If YOU decide to liquidate YOUR shares that have been leveraged by a market maker then the Market Maker simply "pays it back" by "borrowing" from another shareholder. This carries potential risk on many levels but is a topic for another day. Market makers can also sell to themselves which of course we can not. In fact they are authorized to do a lot of things we can not all in the name of making the market and of course while turning a small profit, lol. I will let everyone here decide if they think that is a good practice.
Sorry for the long post but its important to understyand this in order to understand a financial disclosure when you read Cede & Co is holding "equity" or has been issued shares in a company we bought into. Cede & Co is not one person, its actually US. In most cases Cede & Co shares are OUR shares. This is what is referred to has held in "street" name. Technically speaking and in many ways functionally speaking, Cede & Co owns almost all of the publicly issued stock in this country.
The point is, that UATG did not issue Cede & Co directly, ANY stock nor is being held their for nefarious reasons by a shadow arm of the company or its friends. Its simply a master transfer agent and processor for DTC. Hopefully I didnt lose anyone and hopefully this actually helped everyone
Reading through many of the posts yesterday it dawned on me what the problem is with this board. MANY here really do NOT understand how to read or interpret a financial statement correctly. There are certain accounting principles versus accounting/financial strategies that companies employ when managing assets and cash flow for the purposes of managing tax liabilities and financial leverage with lending institutions to enhance their fiscal capabilities. I understand that these are complex issues but not knowing is not an excuse. Not knowing could cost you quite a bit. Because I am licensed in a parallel field I wont get into it here but I strongly recommend that some brush up on these issues as a matter of diligence. This new Q has some very good things in it and some things that still need attention. I have sent an email to the company highlighting what they need to double check and potentially work on. Hopefully I can be of service to them and help my own investment. This company has so much potential and it would be sad to see it squandered on small mistakes adding up over time. So far they have really done an impressive job with improving their financial health but they still have work to do. Looking at the Q's from the past 5 years really tells an impressive story of mistakes made and mistakes corrected. I know its a pain but I would very strongly recommend that those that are serious go through the past 4-5 years of financials. Its a good rule no matter what company you invest in to be honest. I will look for links that could be helpful in adding those interested in learning a little more. There is alot of inaccurate info out there so please give some time to find something easy to understand that is also accurate. Hopefully this will help everyone
Called Transfer Agent this morning and just had a very informative conversation with Alpine Securities.
The reason sub penny pinks across the board have had decreased volumes is due mostly because of the unresolved clearing issues with Alpine. Anything below a penny is not preferred by Alpine and as a result has additional costs imposed on it to clear making it more costly to clear than stocks over a penny. The further below a penny a stock is the more expensive it is to clear. The good new is that it has hurt and in some cases put toxic lenders out of business. Bad news is that it has hurt some legitimate companies. I was told that many of the firms are working on a solution, via securities insurance and bonds and hope to have a solution by beginning of year.
Just thought a few here might be interested in this info
They just told us. lol
I asked when the Quarterly's would be released and a few other questions. Q3 will be out before the 14th when they are due. He would not give me a specific date as it would not be fair to other shareholders. As for the other questions I asked, they varied. I asked about the direction of the company, product release timing, institutional investments and financing, etc.
I will not be going into any of that conversation because of the climate on this board. I recommend anyone who has questions to call the company and ask for themselves because they really do take calls and answer questions.
FYI: for those who say the company does not communicate or the CEO does not respond..... I called the company for the second time in 3 weeks and received a call back from their IR department and when I asked to speak with the CEO he called me back. TWICE!
This marks the second time I have EVER spoken with a CEO of a public company and I have called other companies asking if the CEO would speak with me. UATG is literally the only company that has followed through. A CEO that is as criminal as many here suggest and outright accuse does not take calls and make himself so accessible. They hide behind assistants and anything they can put between them and the people they are ripping off. A few people here as well have said they have spoken with the CEO so I am not the only one. I will also add that he called from the office number a few minutes ago which according to eastern time was around 6 pm. So not only does he return calls he works after hours. The guy obviously wants to make the company work! I understand people not being happy about the stock price but calling him a criminal is not right
I agree in part. The float is big but the fact that there is no increase to Authorized should eventually swing stock in other direction once shareholders start holding and shares become scarce.
I understand your point but I think the company is better served getting product out and not worrying about one loan person price gouging their products. Market makers are always going to do what makes them money so when the company starts reporting larger revenues and the name is more easily recognized they will go the other way.
How does that effect the company at all? Just petty people playing petty games trying to capitalize on a companys name.