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Well, if you're right, he won't need that life savings much longer.
Sorry, that made me think of my ultra-conservative, retired father who has his retirement plan mapped out to age 115 just in case. That's only 30 years longer than anyone in the family has ever lived.
Thanks for your semi-annual rant against Wilf. We are truly sorry for your loss, since many here are in the same position.
However, any pinkie investor who gets caught in a pump and dump is his own worst enemy. Any company who can't make the best of a 1500% increase in share price... You can blame Wilf all you want, but the CEO is ultimately responsible, not the guy hired to promote the stock. Just like the rest of us, you're responsible for you own investments, especially in pinkie land.
I personally believe DPBM to completely different circumstances from the stock promotions you site. It's his own company for one and there are legitimate things going on. Sure he has sold some shares, but he has been very up front about it. I haven't seen that before from a pinky CEO. If people choose to hold their shares while it happens, that is their informed choice.
Continuing to make broad accusations against someone, because YOU got burned in pinkyland is nothing more than sour grapes. If some of the folks around here are one-hit-wonders, then you are most assuredly a broken record.
LOL.
I knew you would come around. See, this is why we allow bashing of people outside of iHub. I seem to remember you getting mad at be for that. ;)
Selling millions of shares into the float is more than enough to move this puppy south. I got out the first trading day after the conference call because Wilf confirmed there wouldn't be a end to the dilution anytime soon. It was a good call. It isn't our job to sit and prop up the price while the company sells shares. I'll get back in when we are UP-trending. You know, the buy low - sell high thing.
You on the other hand should have been banned for your previous posts, but since you promised you were leaving...
But then, we are used to broken promises around here.
My guess is that Wilf has put a lot of his own money into DPBM to make it happen. One way of doing that would be to set up the situation with the boats and lease them cheap/free to the company. That way the company doesn't have to spend the money and Wilf gets to protect a little of his investment.
I'm not saying this is what's going on, I have no real clue. However, I would think it would be pretty much illegal just to give the boats to a different entity, but IANAL.
However, I doubt the loan idea would work then if the other company owns them.
I'm am aware of that, but we also know that the O/S has increased from 36M to 45M as confirmed by company.
Where did those shares go then, in your opinion. If these weren't used for leases, which add value to the company, what were they used for?
The only other use that Keith has mentioned in the past is in salaries. Did he pay himself and Craig 9M in shares for 2007? That's a nice salary, especially if you believe the company is worth $2+ per share.
How is a 25% or 9M share increase since December insignificant? In your opinion, where did these shares go?
I think you hit the nail on the head here zguy. It isn't by choice. Sadly, they can't choose to do anything about it right now as they are incapable of doing anything about it right now.
Plain and simple.
I'm obviously feeling bored and long-winded tonight. I didn't even realize it was the extra 50% you were quibbling over. :)
I used to work for a privately owned company. The majority of the CEO's family worked there, as well as close friends, too. Many of them had company cars. Cool gadgets, company boats, company sponsored meetings 'offsite', business lunches - you name it, it was going on. You know what? It never bothered me a bit. It was their company and they could do what they wanted. I was actually usually annoyed by others who thought it wasn't 'fair'. I got paid nicely and didn't expect any more, although I admit to benefiting from the lax finincial atmosphere myself occasionally.
A public company is an entirely different matter. However, I'm willing cut Wilf some slack if he wants to dive. Sounds like fun to me. And if he wants to hire the girls to dive too, really I don't have a problem with that, actually I think it is great. My dad got me a job at his office a number of summers, and I was a real contribution.
But the thing is, my company's CEO knew what he was doing and so did almost everyone else there who had 'special' connections. We did so well even under those conditions that eventually the company got bought out for big bucks. Sadly, now things suck. It isn't really the same company anymore. I believe that there is a synergy that can exist in a company that is worth some expenses that others might think excessive.
Am I saying that it the case for DPBM? No, certainly not. I have absolutely no idea. I see the companies side of things and the rosy picture they paint, but along with that is a 65%+ drop in shareholder value since I started watching, and endless months of dilution yet to come. Then there is capted's embittered (*wink*), ex-employee point of view from someone who has seen the inner workings and knows the industry. Certainly doesn't boost my confidence.
Either way, I don't think I am qualified to judge who is right. I am sure it isn't black and white anyway, nothing ever is. It just waiting to see where it all goes between now and 'October'. I can say one thing though and that is most of my money is waiting with me, on the sidelines.
35/2 = 17.5 = 1750%
2 cents multiplied 1750% is 35 cents.
-If your shares go up 1x you have 100% of the money you started with.
-If your shares go up 10x you have 1000% of the money you started with.
-If your shares go up 17.5x you have 1750% of the money you started with.
Now this isn't as simple as I am making it sound because you did say 'increased'.
-If your shares go up 2x you have 100% increase in the money you started with.
-If your shares go up 10x you have 900% increase in the money you started with.
-If your shares go up 17.5x you have 1650% increase in the money you started with.
Really it is all semantics about whether you are including the initial amount in the final amount you are talking about or not. I get confused with it all the time. It is almost as bad as dealing with stocks that trade either at .02 or .002 or .0002. My buddy and I refer to all those amounts as "two" and just ignore the units or we would go nuts.
Wilf probably knows the ins and outs of the pink sheets MUCH more than I initially expected.
Definitely. That's what he does. I would bet diving started out as a hobby, but I don't know, and he turned that into a business that he could enjoy doing. He always says that 'he loves his job'. The 3 or 4 other things I can think of that he does are all stock market related.
Why was thing going to head to a nickel? Any particular reason, like the dilution going to stop?
Oh, and thank you all for the recap this morning, gentlemen. 8am EST is not an option for me.
I'll give Wilf credit as the only pinky CEO who actually admits to selling more shares, especially while it is happening. Most of them lie repeatedly to your face and say there is no dilution happening. He isn't trying to mislead us in that area.
I think you are asking a little much for them to say it is almost over. Obviously it isn't over and quite likely is probably isn't 'almost' over either. If they've raised 2/3rds of their $1M limit and they've been selling for 4 months, then with the price dropping as it is, we may have another 4 months of selling - at least 2 for sure.
That's all swag, of course, but when someone mentioned Wilf didn't answer questions about if the dilution was over, I took that to probably mean it wasn't and sold first thing Monday morning. It's better buy back in when you know it's going up and miss some of the gains, then to continuously ride it down in my opinion.
#1 rule of pinksheets, as anyone will tell you, is not to invest any money you can't afford to lose. In fact, Wilf would tell you the same thing. I've left enough in to have a stake in the game, but that's all.
That's what options are for, a chance for infinite loss.
Sadly folks this is true. There isn't really much to be done about it besides releasing a dividend or two maybe.
It's because of all of the rain and flooding in SEK. I thought you knew that already. ;)
Good to know. I think it may be wise to tread carefully until then as evidenced by the current chart.
The real trick with dilution is not to hold onto your shares through it, IMO.
I'm down to 25% of the position I held last week. I've got just enough in to have some chips on the table, but nothing I can't afford to lose and this point. If the selling stops or the permit situation changes on the deep wreck or rumors really start flying then I'll up the ante again.
So lets see. We have almost 500M shares outstanding, it's really like 493M, but we'll round up to make the math easy.
500M shares of DPBM translates to 25M shares of new company according to your post at 20 to 1. 25M at $4/share is roughly $100M. Where exactly is this 100M dollars going to come from? Wilf is just going to raise his magic merger wand and create $100M in value? Wilf's barely got $1M in hand from dumping the last 50M shares and it will cost that much to buy an empty AMEX shell at least.
Now if they pull something up off the bottom that makes the stock worth that much, then great, maybe it would work. However, that would happen just fine to DPBM without a reverse split, merger or anything else if they pulled up 100M in booty.
On top of that. Most shares given as dividends are restricted for at least 1 year. That means you get to sit around for a year and watch your restricted shares become worthless like Ed got to do this past year and not be able to sell them.
Either way, nothing changes without them finding a lot of treasure and getting it on deck. Except the new way, all of this equity will be tied up in possibly restricted merger shares that no one can sell.
Well, it's possible, but they can get away with almost anything on the pinksheets. (That's why everyone is always telling us to stay away from the pinks.) So I don't know if they are required to keep the conference call or not.
As was mentioned reverse splits are usually bad news. They are usually an indication the company is in bad shape. Sometimes, in connection with a merger they are done to bring share structures into alignment so the kind of stock swap mentioned could take place. Since they already said it was a 10:1 split that means they already have an AMEX shell lined up or its all hogwash.
In general a reverse split is supposed to be a zero sum game. You go from 10 shares at $.02 to 1 share at $.20, either way you have $.20. Unfortunately, they are usually accompanied by a sharp drop in price before the split. It is practically a self fulfilling prophecy.
Here is an example of a chronic reverse splitter:
They drove the price down to nothing, reversed split, and repeated several times. Unfortunately, some folks think Wilf has a reputation for this. I have no idea what his intentions are here or why the R/S would be legitimately necessary. Like I said it could have something to do with the merger and qualifying for the AMEX.
If the AMEX thing actually happens first, I would be less worried. Reversing with an AMEX shell isn't a trivial thing. If it really happens, it is because Wilf probably thinks he is sitting on a substantial find. That would be the deep water site IMO.
If, as someone said, only half of things come true (no AMEX, only R/S) I am out of here in a heartbeat.
Could someone elaborate on the 'Reverse' deal SOS mentioned? Is he talking about a reverse split?
Great info. Cautiously optimistic is a good description.
As it stands things should eventually go very well for us or else they are flat out lying to you about the new 15c2-11. As I don't think anyone here believes they are blatantly lying (I hope), we should in due course see some good action.
Of course, due course may be months and months away, but I'm still patient for now.
It also only reports on correctly borrowed short sales and doesn't include 'fail to delivers'.
If it settles back down to .002, I think I'll do it next time around.
I tried buying more at .002, but Scottrade wouldn't let me do it online and I was too lazy to call.
Guess that was a mistake.
Yes, but the market cap isn't based off of the float. It's based of the O/S which has only doubled in the past year.
So the company selling restricted shares into the float doesn't change the market or the value of people's shares. Of course, the selling itself depresses the price and it ruins the market dynamics when the float loosens up like that, but it doesn't affect the valuation when they bring up $15M in booty.
I knew I was missing the obvious. Thanks!
I've read some of it and I've heard all your complaints about Wilf's investor paid vacations.
But, pinkies are for flipping not investing remember:
http://www.investorshub.com/boards/read_msg.asp?message_id=11992989
DPBM is a great flipper.
Bottom line is our Market Cap is about $12M which is high compared to their limited assets, but low compared to the decent chance they might bring something up soon. At $.02 the gamble is just about even, which is why I anteed up again.
I gotta admit, their blog is really confusing. They are trying to run a forum on blog software. It would take them 30 minutes to configure a decent free forum system, if that is how they want to organizing things.
I accidentally turned on the quotemedia chart that shows up between the ibox and the list of posts.
I can't figure out how to turn it off. It is probably something simple I am missing.
TIA
No, I think they started publicizing around the beginning of 2006. The ticker looks like it started ticking 12/05.
And exactly how is a two year old link relevant to the current discussion?
Your welcome.
All I had to do was shut-up. Well, most of the time I shut-up.
I apologize for any previous aspersions I may have cast on your postings. I wasn't following the logic chain you have been laying down.
So if I follow what you are saying, since we're not shorted, all the people, investors, MMs, etc think we are not overpriced and that would make this a good time to buy and hold.
While I appreciate you coming to tell us that, we pretty much knew that already. However, I will certainly keep it in mind if it is that obvious to even just the casual HMGP board visitor.
Thanks!
I had to look back to last years history to check the dates. My biggest buy was on 10/26 for 500K shares at .021. It was as you describe and filled almost immediately in two large chunks. (I had previously thought it one transaction).
As far back as September it was easy to buy 100K chunks. Looking at the weekly chart for that time period up until the first week of December, there is easily enough volume to have shorted tens of millions of shares. Not all of that volume may have been shorting, but they probably started earlier than that as well. Or tried to hold it down in December.
I find it hard to believe they could have been stupid enough not to cover some of it before it got out of hand. But, given the quality of arguments from our recent detractor I can see it is possible.
Sadly for them, the best they have been able to do is drive this down to TEN TIMES the price they threw out all those shares. There is no way they can get it low enough to begin to scare out even a small part of the shares they let go last fall. If they don't start covering soon, they are going to be really screwed, at least much more than they already are.
I don't know how long it will take for Keith to pull the trigger on whatever plan he has in the works, but it sure will be fun to watch.
I hope they give me a few more weeks as I might lock up another nice chuck in July.
Lowman, this guy, more than anything else, convinces me that you are 100% right on the existence of a large short position. What an agenda!
I still believe that there is someone liquidating a large position. But even if the 2M+ shares we have seen go through in AH trades is evidence of the scale of this redistribution, it is insignificant compared to the 20M shares your estimates indicate they are short.
And which ever MM is short probably hasn't even been smart enough to pick any of these cheapies themselves.
Nice dodge. Whatever.
Here is a description from pinksheets of the SHO regulations put in place supposedly curtail naked shorting:
http://www.pinksheets.com/marketactivity/reg_sho_list.jsp
The SEC claims that this is too difficult to enforce for non-reporting companies, so many that should don't appear on the list. (see point #6 under section V)
http://www.sec.gov/spotlight/keyregshoissues.htm
Consequently this allows the MMs and anyone else to flood the Market at will with FTDs (Fail-To-Delivers or naked shorts). Since they can arbitrarily create supply to meet nearly any demand they can keep the price down where they want. They can smother small increases in public interest generated by PRs, long enough to discourage new investment.
Companies like DPBM who depend on selling shares to keep operating are highly vulnerable to this, because they have no other alternative except to sell more and more shares at lower and lower prices to stay afloat. Even the threat of pulling up millions in gold isn't enough to stop it, because if they can force the company to sell enough shares first, even large amounts of money won't force them beyond their break even point.
I don't think DPBM is in trouble yet. Our market cap (PPS x Outstanding Shares) is only around $10-12M. If they net $50M in the deep water find, that is 5 times our current market cap.
What do you mean by 'these tickers', are you referring to pinksheets in particular?
I'll be frank, your statements don't show any experience in pinksheet stocks at all.
1. Pinks don't run at all if the MMs don't want them to. It would take a substantial amount of buying pressure to move a stock against the MMs. We aren't even coming close. Gold on the deck might do it and only might. It may take a big divvy to get it to happen.
2. PPS has nothing to do with anything, "holding .05-.10 PPS without revenue" has zero relevence without considering the share structure.
3. Pinksheet stocks are shorted constantly. LEGAL has absolutely nothing to do with it. Naked shorting is not a myth, it's a business plan for some brokerages. People have been manipulating pinksheet stocks, in one way or another, since I first bought one in 1998 and before that I am sure.
4. $.02 is high for a lot of pinksheet stocks. There is a long way to go down from here. Considering the amount of share's sold by the company, DPBM has shown a lot of support. I've seen pinks drop from .20 to .02 in a matter of weeks and it's taken DPBM a whole year. If we don't start seeing revenues, we could be at .002 really quick.
5. According the rumors they been days away from bringing up millions since last summer. Do we believe it more than then? I do, but others may not.
So anyway, I'm sure I pissed you off more than 'helped you out' as requested, but I think your view of what should be happening is colored by what you want to have happen. This is behaving exactly like most pinksheets I know, especially one where there has been substantial selling by management.
Capted, if the site is cross contaminated what would be the effect of that on permits and DPBM's ability to ultimately bring stuff up?
Do the permits cover an area, regardless, or only the initial wreck the permit was given for?