is...
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.
That's yours (and other's) opinion only. A 50 for 1 reverse split is not a 5k for 1 r/s. This is not 2011. The new O/S will be in the sweet spot in terms of liquidity, you have no idea how easy this will be to pop to 12+ year breakout levels post split. The people who think Mark is going to bypass the opportunity to send this into outer space have no idea what's going on. You people seriously have no idea how monumentally wrong your bearish stance is right now, this is nothing like 2011. This is the precipice for a face melting breakout.
I will say this, I am so thankful for the pessimism and short shortsightedness that has been on display in recent months. I've bought up all I can afford and never would have gotten such a large position if it wasn't for the sentiment being what it was/is. "Past performance is no guarantee of future results" has never rang more true.
Sorry to be the bearer of bad news but it's important that the truth is spread as much as possible. I'm actually a big bull on these old Frank tickers, I think they're going to be used for mergers still and some will be quite successful. That said, their purpose will be to raise capital and the best ones will want to uplist, so that means dilution and reverse splits. That will send many of the retail traders away buy my prediction is that there will be some successful mergers who actual do proper splits and are able to grow faster than they dilute, and there will be lots of upside even for the ones that needed to clean up their share structures.
I don't think the retail market is ready to have this conversation, but imo the best shells will be sneaky good buys on the sell offs when the A/S are raised and the splits are announced. The key will be getting the o/s somewhere in the 50 million - 100 million range, so for a ticker like this I'd actually like to see a 50 for 1 split. It would cause a sell off but smart money would buy it up imo and then you'd have a clean vehicle for the merger and uplisting. Again, I don't think retail is ready for this conversation because most are too short term of thinkers, but this is a very interesting time in the OTC for these shell plays. 2024 I think will shock people.
I believe that's the wrong company. $ILST is a NV corp and it looks like they in fact did raise their A/S to 6B if you look it up on the SoS.
https://esos.nv.gov/EntitySearch/OnlineEntitySearch
Sexy volume today and Friday. Looking damn good, I think we're on the verge of busting out hard.
When we've moved up, it usually looks something like this. The stock is bone dry and does nothing, then buyers come in and push it up a notch or two and then the volume dies off again. It either goes up on buying or stays sideways on very little volume, and that plays out until the phase is over. It sure looks like that's what about to play out here. 500 shares traded today and I'll bet we don't see much more volume until buyers show up and take out .20.
I'm thinking this will be a strong week.
And I see things differently. I've made a living finding diamonds in the rough in the OTC and buying plays I think the market is overpricing in risk and underpricing it's upside potential. I look for certain elements and I see them in spades here. Debate what you believe will happen all you want, not sure what you are trying to accomplish. My only point was correcting when you implied I was ignoring the risks. I'm simply telling you I think this is a calculated gamble the likes of which I have rarely seen and based on my criteria and methodology, I'm all in figuratively speaking. Every single one of my biggest winners were unpopular when I was in my loading phase. If the board here was unanimously bullish, I wouldn't be here. Cheers.
I hear ya. We all need to trust our scales and trade them. The differing of perspectives is what makes the market so intriguing and potentially lucrative (or the opposite).
Not sure how you got that out of my reply, but that's definitely not the case. If I assigned a 1 to 100 score for my criteria for what I look for in my 'calculated gambles', this would be about a 99 out of 100 here. Once it's above .001 it's a 100 out of 100. That doesn't mean it's a sure thing, there are no sure things in life let alone the market. What it means is it's a trade I take every time it presents itself and I bet as much as I can afford to lose on any one play. Simple as that. Make no mistakes, I'm figuratively all in on $MIKP.
Who said I'm not acknowledging the risks? I said I see more good than bad and that for all of the risks involved, my personal perceived upside and the clues I deem meaningful tell me this is a calculated gamble worth taking and leveraging. I said I believe this is a very good bet at these current levels, factoring what I believe is the risks/reward against what I believe the probabilities are, but I never said it wasn't without it's risks. At this market cap and level, of course the market is saying there are risks. The market is saying there's nothing but risk! I'm saying the market has severely overpriced the risks, but I'm not failing to acknowledge that there are risks. Trading/Investing is all about calculated gambles. I'm saying $MIKP right now at this stage is underpriced at $1 million market cap. It could end up being a total dud but still worth $10 million. I also just so happen to think it's likely going to be valued at $100+ million at some point in time, but again, I never said there are no risks.
A buddy of mine is bidding some 3s. If those fill I may bid some too but they're definitely way thinner than a month or two ago.
The asks just keep getting thinner and thinner. The market seems to be hinting that things aren't nearly as glum as some believe them to be. Getting .0002s filled now seems like a pipe dream for me, which is fine with me, but even .0003s and .0004s are down to scraps. I imagine .0004s will fill if you're patient enough, but the trend is thinner and thinner for these asks. .001s the trading will turn explosive as the bears come to realize they were wrong. All imo.
We'll see. I understand the risks and concerns being addressed, but imo they pale in comparison to the potential of this chart and the value of the I.P./content market these days. The price line that marks (no pun intended) the border of the market believing the hype and not buying the hype is much much closer than people realize.
Precisely. The name of the game is generate growth and revenue quicker than they need to dilute. 2011 vs today is night and day in terms of demand for IP content. To discount what the company owns, and that I.P. content is in an astronomical bubble fueled by insatiable demand in a changing/streaming world, is nuts to me. The nay sayers are focused entirely on the dilution/supply side, which is obviously a key part of the formula, but then ignoring that the demand side for the I.P. has gone through the roof.
We can agree to disagree on what I consider the main point, which is in the long run the split won't actually keep the stock from reaching it's potential. Let's say in your scenario the stock goes to .002, splits, releases good news then runs 100x. In this scenario though the split first, drop down to .0003, but then the split damage is shrugged off after the reorg and news and it still does 100x from .002. I think no matter what stage the split was announced, there would be a phase of the market digesting it as some longs will always bail on R/S news, so in my eyes this was just one final shake out before the show starts. Check some of the biggest breakouts in OTC history, many if not most have one good shake before they go crazy. It actually helps the overall breakout to get the sentiment to it's lows when things are bottoming and reversing.
My main point, which again I'll agree to disagree, is that the actual price on the day of the split is meaningless. Once the market is on board again, this will find a much more attractive market cap. The price on the day of the split is cosmetic more than anything, actual supply and demand when liquidity spikes is all that actually matters.
"Are you seriously suggesting a company valued at $20 million has a backlog revenue of $900 million? Who's the idiot?"
Just because the price didn't do exactly what you or any of us thought or hoped it would, in the time frame we thought it would, doesn't mean we don't have a sh!t ton of heat pumps on our backlog. I've learned the market loves to make everyone second guess themselves and get you on the wrong side of the trade. People are a slave to their recency bias. You are fearful during these times of pulling back and bullish when we're ripping to new highs. Nothing has changed other than the price action, ie the market and market makers, are playing you like a fiddle.
Read the contracts and contact the company, this stuff just takes time but we've been making higher lows since the 2023 floor was put in. Breaking .46 takes us to the next level in terms of interest and then the break of .90 is when we go exponential.
https://contracts.justia.com/companies/dalrada-financial-corp-10263/contract/1251529/
https://contracts.justia.com/companies/dalrada-financial-corp-10263/contract/1251531/
.0007 is a key level everyone should be aware of. That was the share price when the R/S was announced, and the spot where the sell off started. The sell off was the market initially telling the world and Mark that it thought the split was an awful idea. If after months of price discovery and further examination the market then decides to go back ABOVE .0007, that's the market now saying "whoops we may have been hasty in our initial reaction.". I can't promise you it will go back above .0007 and trigger, but obviously I think it will based on my posts, but what I can't stress enough is how big of a shift in energy that signal would be and what it would imply. There's no bigger breakout setup in the OTC right now, triggering .0007 will be an epic wake up call.
I definitely get why people are upset about him stating no R/S any time soon, and then not too long after that announce a R/S. I'm personally thankful it played out that way because that catalyst gave me the chance to buy in heavily at a price that was worth the risk for me, whereas in the .001 range I was only willing to grab a small amount. My guess is some big private investors advised him to split right away and get the vehicle all cleaned up for it's journey. If they wanted to uplist and attract real institutional investors and deep pockets, they would need to clean up the share structure. The fact that the o/s will be 50 million at least also keeps it nice and liquid post split, which is key. I do agree that without the split this would be at least in the .0015 - .0025 range by now, and would be set to breakout, but whenever the split was announced the stock would take a huge hit. Doing it now allows them to get it out of the way, solidify a rock solid foundation (getting shares in stronger hands), and allows all the good news to carry it without having to worry about announcing the split down the road. I've literally never bought into a split like this because this is unlike any other stock/chart/story I've come across doing a split.
In a way, you're right. He is sitting on a goldmine for dilution. The idea that a fledgling growth company wouldn't need to dilute is unrealistic, the entire reason for being public is to raise capital, ie dilute. The key is to find the plays where the growth/revenue will outpace the dilution, and that's why as risky as a play like this is, I think it's a great gamble give ALL of the circumstances (not just looking at past performance as the end all be all). My underlying basis for being bullish isn't based on there not being any dilution, it's that the growth will end up easily outpacing the dilution and it won't even be close. This is a goldmine for dilution, Mark and Co. are going to be able to raise a lot of capital and potentially put it to good use as the stock breaks out to what are essentially all time highs.
Mark has two options here:
Option A - do this the right way, let the stock breakout past .001 (.05 post split) and dilute into the strength of a 12 year breakout (insane) as the IP/content bubble generates more interest in his portfolio than ever and fuels incredible growth with raising capital getting easily absorbed by the market..
or
Option B - Which is what people are suggesting. The moment it splits he toxic dilutes this right through the floor, which would effectively start a whole new free fall as the split would give it more room to crash. In this scenario he's able to raise some capital but it would pale in comparison to option A.
What cracks me up is that so many assume Mark is going route 2 when the first route is legitimately on the table here, which is not something an OTC company is often privy to. Even if Mark is the biggest bastard in the world, he's still going to go option A because it would make him soooo much more money.
Mark could have R/S and diluted through the .0001 floor many years ago but held off so when he needed to he would be able to do so through a position of strength. That's why there's a 12 year base on this chart when 99% of OTCs would have taken out the floor with toxic notes. There's an Ah Ha! moment waiting to be had by the perma bears here and I'm going to be here for it.
Mark is sitting on a goldmine, the demand for content is exponentially higher now than it was 10+ years ago. Streaming services are struggling to keep up. IMO it's not about a company like this diluting, it's about adding value/revenue faster than they can dilute. This is a slam dunk imo.
I've said the same thing. I think this is way tighter than most realize, and for a reason. We'll see, but I too assumed if this was a trainwreck then I'd have no problem getting .0002s filled, but people here assured me just wait til after the split when the 'real' selling begins.I told them the market is way too forward looking for there not to be plenty of dumping now, if the post split dumping was a foregone conclusion.
.0004s are down to the scraps and have been much thinner than the .0003s were. My guess is the .0005s are even thinner. We're very quietly seeing an uptick in strength, still climbing the wall of worry. Love it, couldn't ask for a better sentiment for a fertile base. The last thing you want is an overly bullish retail market too soon, that comes much later.
For anyone saying shorting isn't allowed on pennies, or sub pennies for that matter, you're wrong. Even retail can short pennies with enough capital and the right broker. My old broker would allow shorting on any OTC that they could borrow against, ie find shares being held long, but the margin requirement was $2.50 per share. That said, you could short even triple 000 if you had enough capital for the margin requirement, but only the big boys have that kind of cash sitting around. But there is A LOT of money to be made on the short side of these turds. You have no idea how deep it gets, but I digress. My point is, I can tell you shorting any OTC is very possible, as my old broker gave me that access so obviously I'm not alone.
It's not just a film, the potential with IP like that is all over the place. And even if it were only to do 1% of that sort of potential, that alone would be a 10 bagger for the current market cap. It's not just about the potential value of Mark's I.P. (and realizing it without toxic notes), it's that vs. the current market cap ie. the market's current expectations. Mark could fall well below his dreams here and still have a 100 bagger from current valuation. Like I said, this is a gimme if you're not a slave to your biases. I have none here, I've follow $MIKP for over a decade and never felt compelled to buy any shares let alone load the boat like I am, and that's because I've never seen the stars align on it like they are now.
This ain't 2011.
Amen. I was thinking almost the exact same thing.
I'm taking the opposite side of the trade and going very long here at these levels. Let's check back in later this summer and see where we sit.
Peanuts. Vampirella alone could be worth a $billion. They have lots of intriguing I.P. during the I.P. bubble of all bubbles. The advent of streaming content has changed everything, Mark is sitting on a gold mine. That note is peanuts.
Most splits don't have a brand new reorganization on a budding media company sitting on incredible IP, during the biggest IP bubble and hottest market in history. There's an insatiable demand for IP right now and just Vampirella alone is likely worth 10s if not 100s of the current market cap. Most splits in the OTC are for much much more than 50 for 1, and most splits won't result in a still very liquid o/s and market for shares. Also, most splits don't occur on a stock with a gorgeous 12 year base like this one has, and is currently less than a measly 150% away from critical long term breakout levels. I honestly have no idea how people aren't flipping out over this one, this is not 2011 folks. It's night and day an exponentially better situation than 2011, and an infinitely better situation than your run of the mill OTC R/S. The sentiment and market are reversing course and on the verge of getting hotter than ever, while imo you're still stuck in 2011.
Bullish doesn't even begin to describe how I feel looking at $MIKP's 2024 (and beyond) prospects. To think that Mark is going to dilute this into the ground post split without properly orchestrating the reorg and updates is to assume he's going to pass up on mind boggling upside and returns on his efforts and IP. This is a slam dunk imo.
Holy crap, that explains all the funky block sizes! I've had to sit and wait for my buy orders to fill for minutes on end and they would all fill in tiny increments. It's been baffling.
What a weird trading stock, honestly this makes me even more intrigued. Hmmmm.
Interesting. We'll see one way or the other. Imo it doesn't matter what the final price is before the split takes effect, the spread will translate either way. If it closes with a .0003 x .0004 spread, then it will likely open up with a .015 - .02 spread or something in that ballpark, and then tighten as it picks up trading. If it's a .0004 x .0005 spread, then it will be in the .02 x .025 range for the new post split spread, and again tighten from there. The real kicker though is news. If they time it with good news, then all bets are off and it could just gap up a bit and not look back. All just imo.
I've had a couple people tell me they can't find $MIKP listed when they try to buy through Schwab.
Does Schwab allow buying? Do you have to call it in? What broker is everyone using to buy?
All the shares dumped over the past couple of years are either retail longs getting flushed out (buyers from 2020/21) or MMs shorting. Now most of the float is held by a relatively small number of people. Once this gets current, gets off the EM, and the merger is announced, it will gap up and not look back. If you know what recency bias is or want to look it up, it's what the market is suffering from right now. It may still be months off, but when these guys flip the lights back on this is going to be a fun runner. Upon confirmation of the merger, which as you're demonstrating the market has completely given up on, this will squeeze not only to the 2021 peak of .02 but it will trigger it's long term breakout from there.
Looking forward to it.
I keep chuckling every time you suggest they cancel the split. It would be a short term boost but would keep them from their ultimate goals of raising equity and uplisting. Now the price has factored in the split and it's in the past, and now comes the good/fun times. A 50 for 1 split here sets the company up perfectly for their plans and there's a clear path towards amazing progress. Cancelling the split makes no sense unless you're looking to flip this quickly. If you give a damn about the long term prospects, they better not cancel the split.
Yes, I do believe dilution is a necessary evil for every penny stock. I'm looking for the ones that have the qualities which I believe indicate they will be able to grow revenue faster than they can dilute. It's risky but every play I enter is risky. It's that risk that allows for potential outsized upside when I'm right. And a $50k note is peanuts in the grand scheme of things. I love the gamble here. Love the upside and everything I see. But of course there's big risk, anyone playing this or really any penny needs to be playing with money they can afford to sit on and potentially lose. But yeah, despite all the risks that you and others see, I see a top 3 opportunity in my nearly 18 years of doing this gig. I'm not trying to talk anyone into following me, more just shooting the shit and sharing my opinion/perspective. I'm the one loading the boat here risking my own money. And feel damn confident in it, yes.
Nothing new has been announced, but there's enough out there in the conference calls and if you do the DD to get people excited. I think this room kind of went into shock after the split caught everyone off guard, and it tainted the room's perspective. If you ask me and my DD buddy, we both believe strongly that this was a buy the news selloff event. Time will tell but I do expect things to further get thinner and then the big move will come after .001 (or .05 post split) is convincingly taken out. Don't necessarily expect it to be one clean event either, the volatility could spike and it may need time to base in the upper trips and lower .001s before it's really ready. I honestly don't think the recent uptick is anything more than the market slowly catching on and reversing it's course. The bigger moves come when there's more conviction but the prebreakout action is just as important in the big picture.
I think the writing on the wall is becoming more clear here. Forget the story even, .001 essentially marks a massive 12 year breakout level, which is only a 100% pop from here. There is nothing I can see in the OTC that is so reasonably close to such a critical breakout level. I told a buddy of mine about this one and how much I liked the big picture chart, but he's more of a DD guy and looks for certain elements in his plays. He loves what he sees here and he's taken up a starter and is looking for more. And that's not to mention anyone that he tells. I truly think this has the makings of being the OTC's hottest play and my DD buddy says the same thing independent of my chart analysis/opinion.
There seemed to be at least a couple hundred shares to grind through at .0003, then less than 100 million at .0004, and now the walls will only get thinner. I'm getting myself all excited again. :)
There may be more .0004s that got shook out so this could change still, but so far there were a lot more .0003s for sale than there have been .0004s for sale. And I would guess there are even fewer .0005s up for grabs here than there were .0004s.