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Craif_wilson, thanks for the patent info!(EOM)
Cargo_hauler...
That was some awesome research. I'm sure many have greatly appreciated what you have discovered with AAPM. If not yet, they will later. Thanks again.
I have some other thoughts that might need to be taken under consideration to further reflect how undervalued AAPM is at these levels. I'm just getting back in from the job and I am very tired. Give me a bit to organize my thoughts to post later.
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Billiondollarman...
I have been in many stocks. Although there have been a few of them others believed to be scams, I personally still don't know. I will always admit that knowing if a stock is a scam or not is one of my weaknesses. Because of my situation, I don't have the time to worry about them. I have to weigh the situation for each stock and make a decision whether to move forward or not. I have to focus my energy towards being positive while moving forward.
It's hard for me to accept fear as fear has stopped many from being successful. Fear stops people from taking risks. You must take some risks to achieve your goals. Doing nothing will get you just that... nothing.
I tried to make that "Fundamentals" post as constructive as possible to show how logically AAPM could very well be at .00846 per share. From reading Cargo_hauler's findings and DD, I think .00846 per share could be proven to be very conservative. I'm glad you agree with what I posted.
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Livingstyle, about your thoughts...
I do somewhat agree, but your thoughts are still debatable. I'm under a time crunch right now to read and make as many posts as I can for a few reasons, so let's not.
To better put it though, I think we are safer here with the risks presented by CHNW as compared to your average pink sheets stock.
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Cargo_hauler...
Thanks. It just seems like even without news, we should have been stabilized at much higher price levels. I think many people are just not aware of the possible potential here with AAPM. Just by being profitable at these levels speaks volume enough. Maybe if they could do just one more thing to enhance validity, then that might do it too. Like announce which SEC Law Firm they hired or something along those lines. IMHO
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Poster44ny...
There is a lot that we still would like to know about AAPM, but there is enough that is known versus the majority of the stocks in penny stock land with much less going for them that trades at much higher prices. AAPM looks to be a gift for risk versus rewards. Still, it's very risky if for nothing else, because of being on the pink sheets where much is never as transparent as we all would like about a stock. IMHO
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Strongus2006, about your thoughts...
I agree. I think a reverse split is not in the plans. I think CHNW, with what we anticipate to happen, would only consider doing a reverse split if they had the Revenues already generated and established to justify market capital requirements to trade on the major markets; NASDAQ, NYSE, AMEX, etc. That would be a good ways down the road and for very positive reasons of growth. I think we are very safe here with CHNW. IMHO
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Cargo_hauler...
If the news is right, there will consistently be new investors seeing the same opportunity in CHNW that we now see in CHNW at much higher graduated levels of price. It will be nothing more than an exchanging of shares each time CHNW graduates to another level of price stability. IMHO
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AAPM**Fundamental DD to Consider…
Having Financials filed to show on the pink sheets website is good. It would be much better and considered more legitimate if it is filed with the SEC. Just getting them done and filed with pinksheets.com is at least a start in the right direction compared to your average pink sheet stock.
I read in previous PRs and their filings that they have hired an SEC Law Firm, preparing to file their 15c2-11, had net profits of nearly half a million, had over $29 million in Revenues from a 9 month period, scheduled to meet their goal of $35 million by the year ended, and has a patent on their technology that is generating these Revenues to keep them a profitable company. Maybe it’s me, but I really think AAPM is fundamentally worth being researched by all investors. Although this is the pink sheets market and you just never know, I find it hard to believe that a company would go this far to have made all of those things up. If I am wrong, then I will just stand corrected.
Before reading any further, please understand some things. Huge volume going through any stock with no significant movement can mean dumping of shares, naked shorting, or just flat out accumulation of the float no matter what anyone says or posts. Personally, I don’t know. I’ve put together some fundamental thoughts based upon what we do know from some facts filed by AAPM that could logically support why AAPM should be trading at .00846 per share.
The figures below are derived from what I see as logical deduction which might be considered very illogical to many. I really don’t feel like repeating some of my old experiences so please consider these only as speculative in nature. (Believe me, it’s a long story as I have been wrong before.)
Although I do not think the OS is as filed right now, I see where the outstanding shares/OS is 1,020,250,000 since their last filing of their financials on pinksheets.com as of 30 Sep 06. The Company stated that AAPM had over $11 million in shareholder equity which represented approximately $0.005 per share.
The .005 per share is actually a Book Value (BV) and not the Earnings Per Share (EPS). The BV is the value of the assets sold and considered to be awarded to shareholders if the company went Bankrupt with no debt. This is what the amount of .005 per share represented in their PR. Keep in mind that since AAPM is profitable and debt free, such logic should apply.
Consider the basic formula below given what the company has told us to derive the OS:
Assets – Liabilities = Equity
Equity ÷ OS = BV
Since we don’t know the OS and it’s what we are trying find out, then we must solve for “X” with “X” being the OS. So…
Equity ÷ X = BV
Which is the same as below to solve for X…
Equity ÷ BV = X
So…
$11,000,000 ÷ .005 = 2,200,000,000 shares outstanding
OS = 2,200,000,000
From going back to research the volume history of AAPM since the 13 Dec 06 time frame in which that release of equity was announced, I will have to guess that the OS is 3,000,000,000 shares for a worse case scenario. I like the thoughts Cargo_hauler displayed. Taking into account their 120 million OS before their 10-1 forward split that was done months ago and this would be like AAPM going from 120 million shares outstanding to 300 million shares outstanding. So the increase is not bad in my opinion since we are still taking about a profitable company. I do think the OS is 2.2 billion, but let’s stick with 3 billion for the rest of these considerations.
If Net Income for the period nine months ending 30 Sep 06 equates to $426,098 or about $142,032 per quarter for 3 quarters, then I am guessing that for the year ending 31 Dec 06 Net Income equates to $142,032 x 4 = $568,128 for 4 quarters or Annually. I think this because their announcements of Revenues still increasing as scheduled.
Consider below for an Earnings Per Share (EPS) derived from what they publicly made known for profits.
From what was filed with pinksheets.com as of 30 Sep 06 the EPS is as below:
$468,098 ÷ 1,020,250,000 = .00041 per share
I do not believe that their EPS is that high, but I do believe that AAPM is profitable still. Please consider what I derived for an annual EPS as from explained above using the annual amount of Net Income to be $568,128 for 4 quarters given what was made in 3 quarters and an OS of 3 billion shares:
$568,128 ÷ 3,000,000,000 = 0.000189376 per share
So with rounding, below is what could be considered its annual EPS:
EPS = .0002 per share
The .0002 EPS is a more fair assessment, annually, in my opinion. The first thought that should come to mind is that most stocks usually trade 15 to 30 times higher than their EPS. Go to any stock on the major market and compare its stock price to what they announced as their EPS. For the market that AAPM is in, it would be expected to trade 42.30 times higher than its EPS as indicated in the link below:
http://biz.yahoo.com/p/125conameu.html
This is what as known as its growth rate or PE ratio for those of us who are still trying to learn these fundamentals a bit more like myself. The PE ratio is 42.30 for the market AAPM would reside to trade once trading on a higher exchange as we expect. This would mean that its market would grow to see them as indicated below:
PE Ratio x EPS = Where a Stock Should be Fundamentally Trading
42.30 x .0002 = .00846 per share
Given from what was filed on pinksheets.com, AAPM should very well fundamentally be trading somewhere in the area of .00846 per share. Even if I am half right or even a third right with what I considered above since 42.30 is a high PE Ratio, you still can considered that AAPM in being a profitable company might be significantly undervalued at .0002 per share.
These are only my thoughts that made me decide to take the risk for rewards with AAPM. Much was derived not so much from speculation, but more from facts that was publicly released by the company as Net Income, Equity, and their Book Value. These are all key fundamental variables for assessing the valuation of a stock. I appreciate your correcting of anything seen wrong and the sharing of your thoughts.
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Cargo_hauler, about your decisions...
Great job with CCNG! The sign of a good leader is knowing when to lead and when to follow. I followed you to AAPM and believe me, if for some reason AAPM turns out to be a disaster, I will only blame myself for investing and not you. I do think that AAPM will be a winner.
From doing some research, I think we are significantly trading much lower than it is currently valued. I will share some thoughts that might be able to help investors see the current potential in AAPM. Anyone, please feel free to correct me if I am looking at things wrong. Give me a little bit of time.
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Allinxx1968, Thanks!Greatly appreciated!(EOM)
With MHUS...
Someone mentioned earlier that they think MHUS is going to bounce back and recover. I think so too. I’m taking a chance to see this through. Keep in mind that I was already wrong in thinking the bottom was .0006 per share. I do think the news was promising.
Doing the deal in shares is the best thing that actually could have happened for shareholders. This means that a finite amount for the OS is already locked in place. They can’t change the share structure while going through their Due Diligence period. So personally, I think we are safe from a reverse split or from one any time soon to worry about it.
This also means that those involved with doing the deal in shares will have a vested interest for not having a reverse split executed to reduce their shares unless it will positively be prosperous as for an example the situation with Ericsson a few years back which reverse split with a post split price under $1 per share to now trade at over $36.00+ per share.
My point here is that if they end up doing a reverse split to fix the share structure alone, then look out for dilution on a continual basis ie death spiral. However, if they are going to do a reverse split to facilitate the share structure by bringing in a multi-million dollar company with valuation and equity, then smart money will know this and will be scooping up some cheap pre-split shares while more liquidity exists. I’ve been watching this looking for an entry and over the past couple of weeks or so, there have been lots of selling, but equally lots of buying too. Remember, 10 shares at $1 = $10 is the same value as 1 share at $10 = $10 in the market. It’s really all psychological.
I do not think we are going to get a reverse split any time soon if ever for the reasons I stated above. But who knows? I won’t hold the CEO’s other reverse split stocks against him because none of those other stocks were talking about merging into a company with a potential infusion of $137.5 million in valuation and/or equity (or at least I think not since I’m not going back to DD his old stocks anytime soon).
If this is the Global Vision Telecom (GVT) that is within the link below, then the $137.5 million infusion will be credited as an Equity infusion if I had to guess on the Balance Sheets. (I think an earlier poster confirmed this too.)
http://www.balancingact-africa.com/news/back/balancing-act_290.html
It takes money to make money. If anyone or a company sees enough in GVT/MHUS to invest $137.5 million in them, then there is a huge potential for revenues to be made because the one doing the spending of that $137.5 million is definitely spending such funds to not lose them, but because they feel as though they are investing into GVT/MHUS at a discount because it can generate in revenues way more than what it is investing. I definitely see out of the pink sheets if this deal consummates.
I’m guessing that the OS is near 1 billion shares instead of the last reported 325 million shares from evaluating the volume over the past few weeks. Another way to consider the acquisition of GVT (assuming that the OS is 1B shares) would be to see things as if someone seeing enough in MHUS to invest Equity in the amount of about .13 per share. (Derived by: $137,500,000 ÷ 1,000,000,000 = .1375 per share). This is not saying that MHUS is worth .13 per share, but that someone is investing such amount into MHUS because of them thinking they are doing so at a discount and not a premium.
The way I see it too, no better way to get the seller out than the rumor of a reverse split (heck, or at least I hope it’s a rumor). It’s definitely always possible in the penny stock world and should never be ruled out with any stock IMHO. If they close the GVT deal, then it might not matter. The seller will be churned through. These thoughts are only my opinion.
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Moneymetals...
Thanks for your kind words. Believe me, I'm just glad to be posting as an outlet from time to time. I appreciate too much for just being here to ever really get mad at anyone. Long story.
I have always respected the Marines, but since sharing some of the same dangers with some of them, I have learned to appreciate them even more to include the Navy and Army. Don't get me wrong, I'm still glad I joined the Air Force though! LOL
I think as long as CHNW can continue informing shareholders of their progress while actually making progress, we will be fine.
I also think it could be awesome if they were to time announcing a huge reduction in shares to the OS and placed back into the Treasury along with some very positive FOREX news.
Now throw in a name, CUSIP#, and ticker change and I think we might be in for something nice. Now if there really isn't a naked short, then the name, CUSIP#, and ticker change won't have as great of a reaction as we anticipate. It won't matter because it will at least verify and keep some things in check.
I'm kind of in between thoughts on how large is the naked short or if there really is one. If there isn't a naked short it still doesn't matter because I think the inventory of shares is nearing zero which would cause CHNW to trade as if it was a naked short given buying volume. That is why this accumulation is so important for getting the bulk of shares into strong hands. I think something huge is "quietly brewing up" here with CHNW. These are only my opinions.
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Derekz, about your thoughts...
I'm still saying that "maybe" they are not done buying back shares. It just seems like the company definitely has got to know the magnitude of an announcement that they bought back 1 billion shares.
Many companies with not near as much going on as CHNW made announcements of doing or considering a share buyback that hadn't even started buying back shares yet and had decent reactions.
They seem to like to keep their shareholders informed so I think that they will probably make such an announcement. I think they are waiting for the right time and/or when they are done buying (in my opinion).
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Stockhound101, about your thoughts...
Really, I am burnt out on fighting or dragging on debates that question my integrity. I have been in enough of them. I'm not sure such is what you are doing.
I do agree with what you are saying for those people that are creating scams or posts "knowing" that they are scamming people. I’ve always made posts thinking that I was helping people. Or at least that has always been my intent. I do think that if people put their life savings into any stock, they then need to re-evaluate their priorities.
I have never done anything as cruel as scamming people about a stock and I never will. Because of the negative outcome of some stocks, I have been wrongfully accused at times. I have been in and posted on a lot of stocks over the years and some have been great while some have been nightmares. I have never intentionally shared thoughts to scam people. Sometimes I was just flat out wrong about my thoughts on a stock.
I think everyone or almost everyone has given someone a bad pick to where they lost money at one time or another. I have looked back at some stocks and wondered what in the heck was I thinking. All I can do is learn from my mistakes and move forward.
In learning from my mistakes and moving forward, I do think that CHNW presents a good risk versus reward opportunity. Almost any stock in the penny world that you research will have something wrong with it. That's why it's in the penny world and not already trading in one of the major markets.
If you have ever taken any of my current and past posts to be criminal to deceive, you have my apologies. Such was never my intent. If you were not taking them as such, then I wish you well with your continued research here with CHNW.
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Xtreme81, about your thoughts...
I believe you are correct for those companies with honest intentions of growing their company. I think what some shareholders see as being dumped on or as “dilution” the company sees such as “financing” when it comes to selling shares into the market. Why? Because they can justify how the funds are going to be used to grow their business plan for growing the company. None of us likes it, but it happens within the penny stock world. The key is when will it stop? I think it has stopped with CHNW. Please know that what I think doesn’t matter either.
Any company going from 581,510,267 Outstanding Shares to 4,320,510,567 Outstanding Shares as what has transpired with CHNW has definitely released some shares into the market. That is not debatable. The reason is debatable, but now that the company has stated that there is no dilution and that they are now done financing, I feel as you, I think we should give them a chance to see if the share structure remains transparent.
I think either Allinxxl1968 or GABRIELXX, whom both I believe, posted an email that the company has bought back 1 billion shares and retired them back to the Treasury thus far. It was also mentioned in the PR that CHNW had been buying back shares. Since the exact number of shares was not placed in the PR, I am guessing that they must not be done buying back shares. At these price levels, why wouldn’t the company consider buying a few billion shares to retire back to the Treasury to create a comfortable level for a share structure to fundamentally enhance the company’s valuation? This also reduces the float too. It would be nice for CHNW to PR the amount of shares bought back along with a new and lower share structure.
Your normal penny stock that has plans of ripping off shareholders normally would not go through the trouble of spending money to generate two years worth of filings. I really do think that CHNW has a serious and fair plan for growth.
http://www.pinksheets.com/quote/finance.jsp?symbol=CHNW
All companies in the penny stock world usually have to sell shares. That’s normally how they survive. That’s because none of them are profitable. Achieving profitability is what they are trying to obtain. Until they obtain a market that is buying their product, business, or service to the tune of where their Revenues are greater than their Expenses, they will be forced to dump shares to continue existing. How else will they pay for the bills? This should be understood by anybody buying any stock within the penny stock world.
I think CHNW has a plan for paying the bills without anymore dilution or financing. I am not sure what all is happening with CHNW, but from doing my little DD on CHNW I do think it is well worth the risk considering the upside versus the downside. Every blue moon I seem to get one of these right.
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Livinginstyle, about your thoughts…
Some of your thoughts do hold merit, but... The way I see it, all should understand the greater risks that are involved with playing the penny stocks versus your major market stocks. If not then, they eventually will, one way or another, learn from some type of experience. I will always “try” to help, but by all means, I am still a rookie. Please see me as a guy who knows nothing, but will always try to help.
Normally… the greater the risks… the greater the rewards. That is why we are here in penny stock land as opposed to investing in companies that are already established within your major markets. We are looking for major ground floor opportunity for risks for major rewards. Many are not here for 20% to 30% gains for the year. That’s for people who are already millionaires who got millions to invest. Or for those who chose to be a bit more conservative in nature.
Currently CHNW is crawling. I think they are positioning themselves to go from crawling to walking. Soon after, considering that all expectations take place as we anticipate, they will be jogging. If things go as planned with the FOREX, then we all hope that the jog transforms into a run.
Having two years worth of financials usually means something of a huge magnitude from a pink sheets stock.
http://www.pinksheets.com/quote/finance.jsp?symbol=CHNW
If I had to guess, I do think they are quietly positioning themselves to go to a higher exchange. I think first it’s the OTCBB that they are going for. The current share structure will not be that significant for trading on the OTCBB. Consistent filings and increasing Revenues will be primary.
I see CHNW then staying on the OTCBB for about 1 to 2 years if things go as planned to allow for significant Revenues to be generated as continuity from the FOREX market to position themselves to meet the AMEX, NASDAQ, NYSE, etc. requirements. This will be a good while from now and after being established on the OTCBB for a long while too while trading at an established higher price level if I had to guess.
I do not think that we have to worry about a reverse split here with CHNW, but if they are going to reverse split us in the future to get us to a major exchange such as the AMEX, NASDAQ, NYSE, etc., then I think we all would appreciate such. This would mean that enough Revenues are being generated to meet the Market Capital requirements. That would be for a positive reason which is very different from those negative reasons why penny stocks normally do a reverse split.
Some people are worried about a reverse split in the penny stock world because normally the reason for doing such is to continue a pattern of dilution and ripping off shareholders. That is what we often see dilution for reasons other than in the best interest of shareholders.
Please don’t take what I’m saying as that the company is going to do a reverse split. I do not think so. I am just saying that reverse splitting a stock for major market implications to go to the AMEX, NASDAQ, NYSE, etc. is definitely not a bad thing, but actually quite the contraire if things happen as you suggest for a worse case scenario. Most penny stocks fail as the odds are already against them, but this is the risk we take as believers in what they are trying to achieve. Hopefully everyone understands this.
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Stockplayazz, to answer your question…
I think it really depends on other documents filed with the SEC and/or coordinated with NASD Officials. That’s the responsibility of their legal team.
As with the CUSIP Service Bureau for getting their new CUSIP #, they can do an “Express” request that will give you a one hour turnaround as stated under the “Features Include” section. This was something else I confirmed when I spoke to one of their employees. What was surprising was that some had a full understanding of the potential magnitude of a CUSIP# change while some I spoke to didn’t.
http://www.cusip.com/static/html/cusiprequest/request.html
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Ccvle, about your thoughts...
There are other links that are different, but those are the only links here at my job that are not blocked for authorization. Still, it would not matter if I found 50 different links. I do know that the number is a bit high.
I agree with your thoughts, but I was trying to show that even if that number was tremendously off, we still should be sitting fairly decent as a worse case scenario by significantly reducing that number.
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Buyatbid, about your thoughts...
I think that it is very important CHNW makes sure the share structure remains transparent for all to be able to see and verify.
It will be very important for CHNW to not gag the Transfer Agent (TA) and to remain patient in releasing shares into the market. The share structure must remain in tact with no changes for a while until other significant substance is delivered for justification.
If they really want CHNW to get to the .01 per share that was mentioned, the ball is in their court.
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R-money, Stocktrendsetter, & All, about that post...
There are many links to confirm why it could be viewed as dollar volume. However, below are some links to reflect why the $1 trillion or similar mentioned figures ($2.7 trillion in the CEO’s letter) could be viewed as Revenues, Income, Profit, or Earnings as it states in some articles.
I'm not trying to add confusion, but when it states $1 trillion per day in earnings, one can be led to think that such equates to $30 trillion in earnings per month. The dates are a little old as the totals for 2006 have not been confirmed just yet, although it’s expected to be greater to reflect the growth of the FOREX market. Consider below only as another way to maybe see things:
Revenues – Expenses = Earnings
“Earnings” is the term used in the articles below.
http://finance.bizhat.com/foreign_exchange.html
Foreign exchange market is also known as Forex or FX market. To date, it is the world's biggest "economic bazaar". FX produces an average of over $1 trillion daily earnings. That is 30 times more than combining all the volumes of America's equity markets. This currency market is where currencies are bought and sold.
http://www.egpa2005.com/the_basics_of_forex.php
Foreign exchange market is also known as Forex or FX market. To date, it is the world?s biggest ?economic bazaar?. FX produces an average of over $1 trillion daily earnings. That is 30 times more than combining all the volumes of America?s equity markets. This currency market is where currencies are bought and sold.
http://tradingsharesonline.com/articles.php?article=20
Foreign exchange market is also known as Forex or FX market. To date, it is the world’s biggest “economic bazaar”. FX produces an average of over $1 trillion daily earnings. That is 30 times more than combining all the volumes of America’s equity markets. This currency market is where currencies are bought and sold.
http://www.zicap.com/store/
Forex market, which is also known as FX market, is Foreign exchange market. Today, it is the world's biggest and most important "economic bazaar". FX produces an average of over 1 trillion $ daily earnings. That is 30 times more than combining all the volumes of USA's equity markets. In this currency exchange (Forex) market, currencies are bought and sold.
These currencies are traded in pairs, like "Euro and Yen", "US Dollar and Euro". Traders have many reasons why they opt to trade currencies. 5% daily profit received from governments and businesses that trade services and/or products in a different country or should change turnovers made in foreign currency into their local currency. The bulk of the profit, about 95%, goes to exchanging for revenues or assumption. This market is not easily influenced by external factors. It is a very liquid financial market too. In fact there is not another market that is more liquid then Forex market in the world. Money freely flows from this market since millions of dollars can get in and out of it each day. It is also considered liquid because traders can just open and close positions instantly. Maybe, this is the reason of people who likes Forex market so much.
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R-money, about your thoughts...
I went back to read that piece again. It's still up in the air. When it reads "foreign exchange market transactions totaled" the question is... Are they talking about totaled closed transactions within the foreign exchange market which then should be considered as Revenues or totaled value of what was processed and not captured as gain? I do see both sides.
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Stocktrendssetter, about your comments...
The way I read the CEO's Letter, I thought he was referring to Revenues within the market that was transacted as contracted value. When I did reverse math, the numbers made sense for the $155.9 Million in Revenues that were being made by ICE.
Since I have not spoken to the company to get what is meant, I stated to consider my math faulty and move the decimals to the right one or two places. I think the same logic could apply for seeing the potential in CHNW.
Now that you mention it, I do see how you are interpreting the figure. Thanks for sharing your thoughts.
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Livinginstyle, about your thoughts...
Your thoughts do hold merit, but if enough fundamental achievement is established with CHNW, those large shareholders will become even larger shareholders in my opinion. The ball is in the court of the company.
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Moneymetals, about your thoughts...
Your thoughts are very sound to say the least. Thanks for sharing them.
I think that it would further add to the cause if they would announce that they have submitted paperwork to get out of the pink sheets to a higher exchange. This kind of ties in to your 3rd event in need of taking place.
I think, like you, that CHNW presents a fair opportunity for many to research while still on the ground floor.
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Balamidas & All, with the CHNW CEO Letter...
I only got through a quarter of the CEO’s letter before I felt the need to share some thoughts. I will go back to read the rest later.
Not now, but in the near future it will be key for CHNW to be able to sell off some of their “non core” businesses. This will reduce potential dilution to fund Research and Development (R&D). A big name company sharing the same vision of the company can make things so awesome. This is why the marketing phase will be important too.
I am hoping that the beta test for the FOREX is very successful. That is where our fate resides with CHNW. If so, I think such might attract a big name company for seeing an opportunity to tap into the huge FOREX market of growth. I think major investors, companies, and Institutions are all waiting to see how this beta test for the FOREX turns out.
Here’s what I think key players involved with the maturing of CHNW sees from the geometric growth that FOREX trading offers:
As stated in the Letter to Shareholders, according to International Financial Services, London, the average daily global turnover in traditional foreign exchange market transactions totaled $2.7 trillion in April (I’m guessing they meant Apr 06). That’s 2 + 12 decimal places such as $2,700,000,000,000.
What CHNW management sees is if they only were able to get 1% of that market for April 2006, then they would have captured $27,000,000,000 (or $27 Billion) in Revenues for a 1 month time frame. Wait, let’s make this an even more extreme worse case scenario and say that CHNW only captures 1% of that 1% of that market for April 2006. That would equate to $270,000,000. Now multiply that by 12 months and that’s “potentially” $3,240,000,000 ($3.24 Billion) for an annual amount for Revenues.
Even if you consider a very much worse case scenario and figure they only capture half of that figure or .5% of that 1% from the original 1% of that FOREX trading market. That would equate to a “potential” $1.62 Billion in Annual Revenues. ($1,620,000,000)
Now let’s figure a 75% burn rate for expenses where now the $1.62 Billion in Revenues has turned into $405 Million as Net Income. Divided by a CHNW outstanding share structure of 4 Billion shares and you have something that looks like below:
$405,000,000 ÷ 4,000,000,000 = .10125 Earnings Per Share
The PE Ratio for the compatible industry is 34.50 from researching the stock ICE which trades at $149.36 per share on the NYSE. That could logically justify a CHNW stock price of .10125 EPS x 34.50 PE Ratio = $3.49 per share if we use that same industry’s PE Ratio for growth since it’s somewhat similar. A much more conservative PE Ratio would justify CHNW trading at half the above calculation given the above scenarios.
It just doesn’t seem realistic to even believe what I posted above, so please only consider it as a very slim chance of what could transpire. Don’t forget, we are still in the penny stock world where over 90% of penny stocks fail so the odds are already against us.
From scanning through ICE’s last 10K report of financials, ICE made over $155.9 Million for the period ending 31 Dec 05 which was a 43.8% increase from the $108.4 Million they made the year ending 31 Dec 04. I think people are still buying ICE even though it trades in the $149.00+ per share range because of the expected continued growth in revenues from the industry it’s in, the FOREX market. ICE traded well over $721,418,500 in dollar volume this past Friday at a price no lower than $145.15 per share so something is up with their (FOREX) market in my opinion. Their 2006 10K is due out in March 2007. We’ll check it out for growth.
I think the above calculations with CHNW are not very reasonable to expect in the near future if at all to make sure we try to keep things in perspective. CHNW will have to mature into where ICE is at now for clientele base, considering all things go as planned.
The above are only my opinions as to what I immediately saw as the potential in CHNW from reading some of the CEO Shareholder’s Letter. If the test for the FOREX trading platform turns out to be a success, then even if a mere fraction of what I posted above materializes and even if I did some bad math and is off by a decimal place or two, then the current price levels would still be considered significantly undervalued for the “potential” Revenues to be generated by CHNW in the fast growing FOREX market. These again are only my opinions.
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Samplescave…
How have you been? I hope all have been well with you. Sorry for just now seeing your post. I’ve encountered a few unexpected challenges that have thrown me behind a bit. Also, they will be shutting down the power within the next 30 minutes so my time here is very limited. I am currently having a hard time keeping up with many posts from many boards. Heck, this IHUB thing is awesome!
Right now, we are in Como-Blackout where all of our communications to call outside of our FOB have been blocked out over the past few days. I am behind on many phone calls, but please PM me your phone number and I will definitely make the time to call you.
My beliefs are as yours with CHNW. I think we have something here and I think people have enough time to do their own DD to see some things for themselves. I will try to contribute as much constructive information as possible as I can gather that might be of use. I will try to keep my thoughts to facts with references and only speculate from logical deduction. Some of your comments were of use to me in the past and I thank you for such.
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EnergymanNY, about your thoughts…
I noticed the volume a time or two going off at the bid too. It seems that if it was the company dumping, then the bids would have been wiped out a long time ago considering the amount of volume that went through. Still, it should never be overlooked. (Knock on wood.)
I do think it is very important CHNW don’t gag the TA. Transparency of the OS is a must to confirm no dumping of shares. I had not the chance to verify such from the TA. As long as the OS don’t start increasing, then I think it would be logical to consider that the huge volume “might” be the company buying back shares since there is huge volume going off at the bid with the bid maintaining its price level.
I am guessing this because Rule 10b-18 from the SEC requires that a company buy back shares at the bid. I’m a little rusty on the rules, but please review FYI…
See Section 3 Price of purchases; Parts i and iii in particular in the link below:
http://www.law.uc.edu/CCL/34ActRls/rule10b-18.html
See also Section 3. Price Condition, in the link below:
http://www.sec.gov/rules/final/33-8335.htm
Nothing much, but it would be nice if they are buying back shares and retire them back to the Treasury. If they are lining up certain contracts for their FOREX ventures as we anticipate, then they definitely know that buying back as many shares as possible at these levels is vital for enhancing its fundamental valuation. This is what the larger investors want to see if I had to guess.
I do have some other thoughts and comparisons to share that I had not the time just yet to verify before posting. I’ve been a little busy as of late, but I will make a better effort to do so in a timely manner to help people to see the potential that “might” reside here with CHNW while I think its very early with CHNW with yet a little more time.
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EngrishPetey, about your comment…
From reading one of your last comments, I have chosen to not dialogue with you. I now believe that it would be negative energy needing to be directed in support of positive energy to contribute to this forum as a shareholder. I’m sorry you and those that share your same hatred feel as you do towards me.
I will email the company or try to see if I can speak to Megas personally and share some thoughts directly with him myself for a BCIT resolution. I will share BCIT thoughts with the board as I deem necessary too. I wish you well!
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EngrishPetey, about my offer to you…
We got hit with an IED at one of our gates last night. I need to confer with one of my troops to make sure the proper procedures were done to MEDOVAC the guy out from here. I also need to see if he is still alive. I am going to need more time to organize my thoughts. Plus I have a couple of more coals in the fire.
I have not forgotten about my offer to you so please be prepared to sacrifice a few brain cells for a potential resolution to BCIT’s condition. Believe it or not, we share the same interest here and we are on the same team… like it or not. I value my integrity and when anyone challenges it, I have no problem fixing or correcting those thoughts (to include mines if I am wrong).
I am sorry about anything negative that has happened with any stock that turned out for the worst, but we have got to move forward. I had a deep passion for many stocks in the past and now because of things I believed then and now for some stocks.
This is the market and it will continue to be a rough place for many. I will continue trying to help those to become prosperous with stocks that “I believe” have potential for such. BCIT is one of them. Let’s please peacefully discuss BCIT and what is has to offer along with some possible resolutions.
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EngrishPetey, about your comments...
After it was publicly made official the amount of the share structure, I always acknowledged that we had been dumped on. Because we were still trading at such time, I thought that if we had the valuation that many of us had anticipated, there was still room for a very positive outcome. After seeing the land and drilling with my own eyes, it was hard to not think so. I really thought that CMKX was a stock for all to become prosperous. Still, who knows? Maybe Kevin can make some things happen that many are not expecting.
I am serious about having some thoughts that might help BCIT. If Megas is as far along in the process as I think you are insinuating, then it might not matter. However, who knows??? I think it wouldn't hurt to hear some of these thoughts out. I have a few of them as you might know. LOL
Hold that thought though if you are willing to have this dialogue here in front of everybody. I must depart to make sure a certain mission gets taken care of. I will return.
PS - And don't be wishing that I die or something either! LOL
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Domerfan17...
Thanks to you and all who share your same sentiments!
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Domerfan17, yes I am.(EOM)
EngrishPetey, A Huge Question...
Can I have a nice and logical dialogue with you right here, right now, after I respond to a couple of more posts.
Put your hatred behind you for a few minutes. Since you have Megas' ear, hear me out on some thoughts that could fix BCIT and logically explain to me how I am looking at things wrong or how my thoughts would not work.
I will admit that I am very rusty at the very least as I have been out of the investing/trading scene for a while. I don't even remember the few rules I use to know.
Since BCIT is not trading, it can't hurt the situation or anyone. Right? Or please correct me if I am wrong. Who knows? I might finally have some thoughts that could actually work. You think it’s worth a positive resolution for us BCIT shareholders? It just might be worth sacrificing a few brain cells.
I was told that Urban was reading my posts during the CMKX days and he was considering doing some of the things I posted. However, he didn't. We were dumped on as evident by the share structure to the tune of billions of shares. And no it wasn’t me, before you go there. Believe me, the SEC and other regulatory authorities already know. Yes, I already spoke to them so no need to go there either. No matter how much you hope for me to be guilty, I wasn’t and I am not. Please, let’s move forward.
Heck, I saw the drilling up in Canada with my own eyes. I had no idea that things would have turned out the way they did. Personally, I think things would have turned out much better with CMKX if he had done some of the theories I posted. I was at a loss like many others. Kevin is a good man and he is trying to fix things even still with CMKX, but I don't know how much he will be able to do. He has my support and he knows this as we have spoken.
I believed in those theories just like I believe in what I want you to dialogue with me about now. Would you accept this invitation for a peaceful discussion right now, right here, in front of everybody? It will never hurt my pride to be educated. Please, I ask that you humble yourself.
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007stockspy, comparing ICE vs CHNW...
Wow! I must thank you. ICE is an awesome stock trading at $142.47 per share with an OS of 57,438,998 shares. From doing a quick scan of their Balance Sheet and Income Statement, certain fundamental questions with CHNW might have already been answered.
I will go through ICE's filing to see what else I can find too to help us here understand the potential with CHNW. I must depart right now for a certain mission, and I am not sure when I will return. I will make some phone calls to ICE and CHNW come Monday and share what I find if time permits. Thanks for sharing!
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Samplescave...
Yes. This is the same Sterling. CMKX is proof that just me believing in a stock has nothing to do with its outcome. CMKX did not turn out nowhere near how I had hoped for. Hopefully CHNW has a better outcome.
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Balamidas...
Hopefully CHNW does as well as MSEP had done. If you made money on MSEP, I am happy for you. Every now and then I mention a stock that seems to do well. Believe me, I have had moments of the contrary.
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Balamidas, to answer your question…
We could be in for a short squeeze, but the company controls this more than anybody. If they are really serious about getting CHNW to .01 per share or more, the ball is in their court.
I do think that CHNW and most stocks in the penny world have been naked shorted. Many times though the company sell into runs to kill their growth and investor support. If the company lets it run and confirms more with its FOREX venture, it could be something awesome. It doesn’t trade as though the inventory of shares is zero. That doesn’t mean that there isn’t a naked short position. This is where the confirmation comes into play to force any outstanding covering.
We all know the reason why stocks trade in the market is to sell shares to raise capital to grow their company. Eventually, it is hoped that enough capital is raised to create a profitable business to where selling shares is not necessary anymore to grow the company’s dream. The company can then exist from the sales generated from it business, product, or service that it offers.
If the company or supporters could exercise a bit more patience as news of substance is released, the company would need only to sell a much smaller amount of shares at much higher prices. This is the belief that must manifest from the company and its investors.
As for the 9 million block shares, I would not think that such is an indication of a stock being naked shorted. I bought a position in a stock at .0001 per share (started with a G). Later, a trusted friend told me that it was a scam. (I wasn’t smart to figure it out myself or still never confirmed such.) However, when I sold, I remember selling out at .0001 per share and reading the board and some were saying that it was the MMs naked shorting it and some were saying that it was the company dumping shares. Heck, it was me trying to break even. It was only for about 40 or 50 million shares.
CHNW has potential and I think it can be fundamentally revealed. There are a few more facts about the FOREX opportunity that I must inquiry the company about before I post how this could fundamentally benefit its shareholders as we would like. Just by the things that they have done thus far concerning their FOREX venture is enough for me to believe that they are serious. These are only my opinions though.
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Machcobra, to answer your question...
Hello Mach! It's good to be back... somewhat. I am still in Iraq. We all have so much to be appreciative for. If many only knew.
IHUB is something new to me for using on a regular basis, but due to our connections for my location, it's easier to log into IHUB rather than Raging Bull.
I am hoping that BCIT can make a turnaround and bounce back. I was surprised to see that it's still kicking (or trying).
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Dwiz5, about your comment...
Thanks for your email/post. It is greatly appreciated. Please understand though, my intentions are not to add more confusion or throw a twist into this although I have had my moments in other stocks (unintentionally). Believe me, I want this trading just as much as you!
Please understand...
BCIT most recently had done “only” a CUSIP# change and not a name change. Because of this, a new inventory of shares was not needed to be created to give to the DTC. This is what forced the DTC to use what was already electronically accounted for in their database of records. This is where I think the disparity exists between the DTC and the company.
So, to the DTC, they see that there is not a naked short position in shares as suggested by the company. The DTC sees instead a position with no errors needing correction because of the already existing electronic position of shares from the system they trust to be in tact. It never reached the step where the verification of shares by the DTC to put a new inventory of shares into our brokerage accounts had taken place because a new inventory was never created.
The new inventory of shares should have been created to mirror a new name, a new CUSIP#, and a new ticker. Just doing a CUSIP# change doesn’t create a new inventory of shares for dissemination to shareholder’s brokerages accounts. I am not sure if BCIT is aware of this. This is what I gathered from the CUSIP Service Bureau. Please call them at 212-438-6565 to please correct me if I wrong.
This is why the name change must take place too so that the new inventory of shares would be generated by the TA and sent through the CUSIP Service Bureau to the DTC. I think if this would have happened the DTC would not have ever stalled the process. These are my opinions that I have derived from talking to the CUSIP Service Bureau. This might only be a slight oversight by the company (or me), but maybe not. If there legal team call the CUSIP Service Bureau and asks some of the same questions as I did, I am confident they will get the same thing told to them as I.
Because of how it was originally done, still it could be considered that any change now would be interpreted as deceiving intentions by the company because of the time allowed to elapse for mentioning, but it be might worth a try for the company to at least look into this. I was also told that some of these things can happen in a matter of hours as opposed to days depending upon certain variables.
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