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The market value is over $157MM. More than 1.795 billion shares at $.088.
Here is the link you asked for. Don’t forget to note that we are well past the market cap that $.17 target implied (as it has been diluted from 77MM to over 5.2 Billion shares in the 16 months since that report came out) and that Rob Goldman was paid by the company for this.
https://www.goldmanresearch.com/201910071258/Opportunity-Research/first-restaurant-cbd-stock-has-low-valuation-offers-big-upside.html
That $.17 target was from October 2019 when there were only 56 million shares outstanding. There are now more than 5.2 BILLION shares out so $.17 is the same as .0018 diluted so you’re now already double this or take $3.7MM in revenues apply your multiple to get 1.1-2.6MM in market cap (but they don’t pay that for a business that loses $$$ on an operating basis even before COVID) and subtract the $500K net debt and you get a generous market cap of $600K to $2.2B vs the current market cap of $19.8 million. So by your own logic it’s crazy high. Plus that report was paid research from pump and dump shill Rob Goldman. Read the disclosures. He was paid for that. But it’s been a great fun ride that can go on for a while!
A mindblowing multimedia presentation that could have only come from a high tech firm with massive financial and personnel resources like ALYI and an advanced design partner like Modus! Stunning! Innovative insightful content filled with fechnical details that could have only come from the mind of game-changing genius Randy Torno. A true visionary and a super honest military man!
But Henryk (who had an ICO scam before with ciau) says getting told no is better than yes so it’s a milestone! Super funny!
That is old news from the 6/30 10Q. They received that in April. This and the $747,500 they received in covid loans (EIDL) and $36K in EIDL grants (total of $1.08MM) is what put the $634K cash on the June balance sheet (lower than the total Covid payments in April as they burned $446K during the quarter ending in June - almost all of this from operations not capital expenditures) - and allowed them (along with dilution from 928MM to 5.2 Billion shares as of a few weeks ago) to survive, effectively delaying the reverse split by up to a year.
The news is they want you to pre-order RevoltTOKEN!!!!
Normal companies pay to advertise their products not their stocks.
No. WCVC via Smallcapzone.com is trying to sell me WCVC stock on behalf of WCVC as in the disclaimer. They are not paid for this report but they are paid for overall services just like Rob Goldman at Goldman small cap is not paid for writing a good report but shows in his disclaimer he is paid (and all the paid reports are good).
Like MCDonalds selling me Big Macs, WCVC needs to sell me on the idea of their stock so they can survive as they need more and more and more buyers at higher and higher market caps to survive more than a year with their current (June) cash balance given their cash drain (now and for years before and up to covid) unless they can continue to massively dilute as they have from 34MM shares to over 5.2 BILLION in less than two years. Their other best hope is another government aid package.
Ok. So it’s not news. It’s an advertisement. I agree.
That’s a re-pump from a year ago and the “news” is older than that. Plus the franchising, after the first franchisee was supposedly signed up then cancelled due to a Hurricane in Texas (which is, I think not coincidently where their one time PJET partner and scam AlYI CEO Randy Torno lives) and never came back as they have no resources to support a franchisee. No cash except for dilution and government aid. They can’t even file their financials on time and yet they are supposed to be able to reach franchisees financial management.
Here are some of the old articles that this “news” is re-pumping
So the news is that very old news is being pumped by a different source?
https://www.google.com/amp/s/www.greenentrepreneur.com/amphtml/341370
https://www.westword.com/marijuana/illegal-burger-becomes-the-first-cbd-restaurant-franchise-11642547
https://www.chron.com/business/article/Illegal-Burger-The-First-CBD-Restaurant-14930141.php
https://www.google.com/amp/s/merryjane.com/amp/the-us-now-has-its-first-cbd-infused-fast-food-joint-called-illegal-burger
Their gross profit was negative last quarter (read my last post to you or their financials for details) and has been negative as I posted before. Operating loss last quarter was $276K. What number are you calling gross profit? Cost of goods sold without counting labor???
Revenues don’t cover deficits - cash generation does and they have been burning over $1MM a year even before covid and not due to growth/ working capital or investment in new stores. The $5MM deficit is huge compared to (un)profitability and they have been running most of these locations for years without improvement. Food is one of the most profitable businesses out there? The old saying isn’t 9 out of 10 restaurant owners become millionaires. It’s super competitive and most go bankrupt as WCVC would have of not for the dilution friendly WCVC stock buyers (who subsidize the death spiral convert and death spiral SPA equity buyers) and the covid payments from the US government.
The assets grew lately mainly due to having received over $1MM in covid loans and grants from the government this year. They lose money on an operating basis so more locations won’t really help - doubling the locations from 5 burger joints will not produce economies of scale. Despite diluting from 34MM shares to over 5.2B shares in less than two years, WCVC has no resources to file financials on time never mind attracting JVs or build out several new locations. What source of sustainable competitive advantage do they have relative to CBD? That they know how to source CBD packets? They have no proprietary licenses, technology or significant experience related to CBD. Any VC could and would copy this if they wanted to rather than invest in a debt ridden vastly unprofitable dilution machine. No legitimate company finances years of losses with death spiral converts and death spiral equity (SPAs). The burgers may in fact, be excellent.
They lost about $1MM in cash per year and had negative operating profits BEFORE the pandemic ($1.7MM net loss and negative $1.3MM in operating cash flow in 2019 - this is not store opening costs) which is why they had to dilute from 34MM shares to 900MM shares during 2019 (and over 5.2B shares now despite over $1MM in covid related government aid in 2020).
What is the potential and the speculation? That after many years they will somehow finally learn to be profitable even though they don’t even have the resources to file financials on time? That because they sell CBD packets someone would rather buy a massively unprofitable chain with just 5 burger locations, a pizza location and a Mexican restaurant than just start a debt free restaurant that offers cbd packages to put on the food? That’s hardly a source of sustainable advantage. Anyone smart would start from scratch and just copy what they like about this chain. Other than copying the name it wouldn’t be illegal.
Their net income last quarter was NEGATIVE $626K
Operating profits have almost always been negative also and when they have been positive they have been unsustainably low - almost zero. Operating loss last quarter (well to June- they are three weeks later filing last quarters financials) was $276K. On top of that interest expense was $364K - more than 50% of revenue which is insanely unsustainable and resulted in the massive dilution to over 5.2 billion shares despite receiving over $1MM in government grants and loans due to covid.
The only thing that gave them a positive net income for the last 6 months was a $2MM non cash gain in the first quarter in the change in value of their death spiral convertible debt and death spiral equity (SPAs) based on changing assumptions and execution. This was non cash and left them with a decrease in operating (ie NOT spending on bricks and mortar) cash of $679K for the last six months (and more than $400K in cash operating losses in the past 4 months) which was also the pattern BEFORE covid. In fact covid probably allowed this massively unprofitable business survive another year due to the over $1MM in government grants and loans awarded to them this year for covid. Despite that they had to dilute from 34MM shares at the end of 2018 to 918MM by the end of 2019 to over 5.2 BILLION shares today. This is not a healthy company by any means. They don’t even have the resource to file their financials on time. How would they possibly help a potential franchisee? Sustainable companies don’t finance via death spiral convertibles and SPAs.
https://www.otcmarkets.com/filing/html?id=14345700&guid=7pNqUaOswTFAOth
It’s not investment. They even lose money on an OPERATInG basis which means it costs them more to make a burger than they can charge for it. It says this in all of their financials. They have only survived by diluting to over 5.2 billion shares and by receiving over $1MM in government grants and loans this year due to covid.
They are so busy making progress that they couldn’t just tell us what the breakthrough is rather than PR it for Friday. This ICO was supposed to be prefunded by Henryk Dabrowski more than 3 months ago.
Revolt Motorcycles
www.revoltmotors.com
Is a private company which makes electric powered motorcycles in India including the RV 400 shown in that video. It has nothing to do with ALYI.
ALYI is
www.revoltmotorbikes.com
which promised motorcycles for retail sale in the US in 2018 but produces nothing but PRs and really amateurish PowerPoint presentations as they have no cash or technology with one design partner and the only (and part time) employee CEO Randy Torno has done a Kenyan scam (ANCE) and a cannabis water scam (PJET) and his ICO partner Henryk Dabrowski has done an ICO scam (CIAU).
So the news is that very old news is being pumped by a different source?
https://www.google.com/amp/s/www.greenentrepreneur.com/amphtml/341370
https://www.westword.com/marijuana/illegal-burger-becomes-the-first-cbd-restaurant-franchise-11642547
https://www.chron.com/business/article/Illegal-Burger-The-First-CBD-Restaurant-14930141.php
https://www.google.com/amp/s/merryjane.com/amp/the-us-now-has-its-first-cbd-infused-fast-food-joint-called-illegal-burger
Etc. etc.
You said “there will be many cycles”. Randy will probably PR that out of context quote as a sign of public support for his vision. “ALYI projections ‘bolstered by’ investor prediction of “many cycles”!
Yesterday you gave at very specific time for this to “blow up” based on the very specific catalyst of that BS article. You were not advocating a long-term thesis. You said “tomorrow” which is today. So is the time you need another 2 hours until the market closes?
It’s funny that that paid for scammer Rob Goldman (not Goldman Sachs) never decreases his phony price targets to account for massive dilution.
Probably not 3 provable frauds that failed without any commentary before starting very similar frauds like Torno, Dabrowski and Bollen here at ALYI have.
You can never prove a scam until someone confesses just like you can’t prove that I haven’t invented a flying car or that I have not bred a talking cat (I can’t yet show you it flying or the cat talking as it’s a company secret) but with a huge preponderance of evidence including being run by three people who have created at least three scams (ANCE, PJET and CIAU) you can say it’s a scam unless you’re willing to invest in Bernie Madoff’s new hedge fund thinking “maybe he won’t cheat me the fourth time.” Randy could provide more proof that it’s not but instead he refuses to disclose important partners, continues to miss deadlines, continues massive dilution, PRs upcoming PRs that all always disappointing and /or ridiculous and continues to issue financial statements that can not possibly be real (as explained below).
More major fraud flags than any company I have ever seen. Accounts receivable growing with no increase in cash - one of the most common fraud flags. Revenues from least 2 years without any payment (and some of the work was COMPLETED at least two years ago or they could not book them according to standard revenue recognition and ALYI’s own policy.). The value of the digital currency Ven remained constant once again despite being a digital currency that fluctuates versus the dollar. Impossible. CEO Randy Torno doesn’t have ALYI on his LinkedIn page just like Alex Wash doesn’t list that he was CEO of LEXG for years on his LinkedIn page. Instead Torno only lists his current work with an international consulting firm and probably (this part is my guess as to why but what other reason would he have to hide what is supposedly his MAIN JOB?) hides his ALYI involvement due to his real job’s strict ethics policy (that is not supposition - they have a huge focus on ethics and compliance). Randy Torno went silent after he promised a large Kenya contract that never happened while at ANCE (sound familiar?). The fact that Randy was the only board member of PJET which had a full time college student as the CEO (again not on his or Yasmine Acebo’s LinkedIn profiles) while he gave it away for literally nothing and went silent. The fact that he, even for a short period of time, PR’d a potential partnership with LEXG which the least amount of due diligence would have revealed was a fraud prior to issuing these PRs. The ICO is particularly funny - $100MM !The first $2.5mm is being used to build a conference center is bizarre. That the ICO research was performed by paid for pumper Rob Goldman. It was supposed be pre-funded in September which never happened. Paying for PRs and paid research when they supposedly already have $100MM of funding lined up. Why does it take so long to go from PR to LOI to funds? It’s not like they are re-inventing contract law. How good is the intent of milestones and details are so unresolved? Being run by one part time CEO with no technical skills, one (non technical) design partnership, and one fundraising (no marketing or technical skills) consultant, the misrepresentation of Professor Mitlin’s role in the technology, the hinting that ALYI was partnered w a major company when it turned out that will be, in some way, for a conference not for product, the amount of time required for the US and Africa contracts (yes US contracts are also still promised just not retail) but to come to fruition, the assumption that anyone would invest or order from a company with no financial or engineering resources (despite Randy saying companies needed product immediately in just in time delivery), the fact that they fund via dilution to 1.5 billion shares and an ICO scam rather than legitimate venture capital or partnering. The unauthorized use of Steve McQueen and then keeping up unlicensed pictures of Conan O Brien and Johnny Deppy riding aural sand Harleys to make it look like they own something ALYI built and keeping that site up to make it look like they are still planning to sell retail (they are not - that plan made the time window to easily fact check the fraud too soon), and the fact that Randy says ALYI needs “just in time” manufacturing when the alleged buyers are obviously willing to wait years to buy from a company with no workers, no financial resources, and no technology (no patent assets on the balance sheet - they dropped these years ago when the couldn’t afford to pay Air Products the licensing fee - google the patent numbers in their disclosure which they never update including saying Randy is “expected” to get his PhD in 2017). No shareholders agreement, no board for oversight, only one controlling vote holder via preferred shares all to allow unlimited dilution without a vote.
Henryk Dabrowski is leading the ICO for ALYI’s P.R.
https://ih.advfn.com/stock-market/USOTC/alternet-systems-pk-ALYI/stock-news/82913090/alyi-introduces-100m-revolttoken-ico-to-expand-el
After having been CEO at ALYI with the stock going nowhere, Henry joined CIAU to lead their cryptocurrency efforts (and notice this beauty in the link below about his accomplishments at at ALYI - thankfully the LEXG partnership didn’t go anywhere since too many people knew LEXG was a scam) “Mr. Dabrowksi Comes To CIAU As ALYI Enters Into Deals With USMJ and LEXG”
https://www.google.com/amp/s/markets.businessinsider.com/amp/news/Ciao-Group-Names-Henryk-Dabrowski-from-Alternet-Systems-to-Lead-Cryptocurrency-Initiative-to-Include-Bitcoin-and-Blockchain-Solutions-1002070478
While at CIAU they announced an ICO “backed by stocks of a $530B African Market Capitilization” (sound familiar?)
https://www.otcmarkets.com/stock/CIAU/news/Ciao-Group-Announces-Investment-Token-Backed-By-530-Billion-African-Financial-Market?id=166976
Then the SEC temporarily suspended CIAU for the ICO
https://www.google.com/amp/s/www.crowdfundinsider.com/2017/08/120619-sec-suspends-trading-ciao-group-advance-ico/amp/
https://corpgov.law.harvard.edu/2017/10/30/sec-enforcement-against-initial-coin-offering/
But after the suspension, plans for the ICO were cancelled, management never issued more disclosure or filings and CIAU remains skull and crossbones
https://www.otcmarkets.com/stock/CIAU/overview
The chart looked so good up until the ICO fizzled!
See the last five years - ICO was pitched in 2017.
https://finance.yahoo.com/quote/ciau/
And Henryk Dabrowski was also supposed to do an ICO for Ciao group (ticker CIAU) but when the SEC wouldn’t approve they just let that company go dead / cold just like Randy Torno let his past scams ANCE and PJET go dead without a word. Google it.
Yes. And Randy Torno at ALYI tried to capitalize on the early stage hemp battery press by having David Mitlin, one of the professors whose group was working on hemp batteries do a very small consulting project. ALYI then PR’d many times how David Mitlin was “leading ALYI’s hemp battery project”. The only problem was that Professor Milton’s phone number and email at Clarkson University (he has moved since then) were public and he told everyone who contacted him that he only had a small consulting project with ALYI that was over and that a private company named Enermat already owned the technology ALYI was claiming. Clarkson must have also issued a cease and desist to ALYI as after the calls to Professor Mitlin ALYI stopped those PRs. When ALYI gives details that are easy to fact check they fall flat (like their battery patent licenses that they still list along with other outdated things in their disclosure but had to give up to the inventor AIr Products many years ago). Remember, Randy Torno worked in (and failed in) Hollywood before he became an OTC scammer so he loves to write a convoluted story with lots of buzzwords.
It’s not Goldman Sachs. It’s Goldman Small Cap Research. Rob Goldman - one man shop where it says right on his site that he’s paid for the research by the companies and that he has no affiliation with Goldman Sachs. He does super sloppy research and price targets ignoring debt and dilution and basically just restating the companies’ PRs.
That’s not it. They haven’t filed the 10-Q by the 19th even though they have filed the NT 10-Q on the 17th saying they would meet the late filing deadline (which was the 19th - 50 days after quarter end for a small company). They are not current but a little late even past the “late” extension deadline which is habitual for WCVC. I’m not implying there’s anything insidious going on here but good luck convincing a potential franchisee that you have any resources that warrant them paying you for support when you can’t even meet your late filing deadlines.
Sad that this company thinks it has the resources to grow and support franchisees but it can’t even file financials on time (11/14) or by last Thursday’s (11/19) LATE filing deadline. People can still do accounting during covid.
Just like you told us more than two months ago!
chocman Friday, 09/04/20 01:17:47 PM
Re: None 0
Post # of 11731
The dividends are coming. Be patient. Takes time and a lot of paperwork to make it happen. End of the month we will have them.
They have to be different models. These are for driving on the right side of the road and the ones for Kenya are for driving on the left side of the road. They started designing the ones for Kenya first as previously announced but then they realized that tracing the image of the BMW R71 in a mirror produced right driving cycles rather than left driving cycles. This left them a surplus of right driving cycles for the North American market. Since customs makes it cheaper to export parts rather than the complete cycles they had already cranked out in the factory funded by Henry Dabrowski’s initial ICO commitment in August and the cashless consulting revenue stream, they decided to take apart the right-side cycles and ship them as kits rather than cycles to North America just in time for Christmas. This will also be more popular as people need an activity, like assembling an electric cycle kit, to do during covid after having been bored by too many puzzles and too much sourdough bread baking. So the real investment is to go out and buy all the used BMW R71 frames in the market that are needed to complete the kits as well as infant bathing tubs that can be bolted on to create an optional sidecar. The run on these while make toilet paper hoarding look like child’s play.
Check the company profile section of otcmarkets.com and scroll down to security details to see current shares out.
https://www.otcmarkets.com/stock/WCVC/profile
That’s not Goldman Sachs. That’s Rob Goldman - a one man shop who has no relationship to Goldman Sachs and discloses this on his website. He gets paid (he also discloses this) to write up research / promote pump and dumps. He doesn’t promise to write a good report when he gets paid but he always does as the company won’t hire him again if he doesn’t. He never considers debt or dilution when he names his “target prices” which are based on some silly comps. A Rob Goldman research report is a good sign of a scam.
The point of it is that SPA (death spiral equity) holders and death spiral convert holders have resets and look backs based on the lowest price (usually the lowest closing price but unlike LEXG they don’t show the specific contract just higher level details). So even if one share trades low at the close (or maybe even at anytime if the SPA or convert contract is more generous) the SPA or debt holder can convert into many more shares. This is how there has been dilution to over 5.2 billion shares outstanding in such a short time despite getting over $1MM in covid aid from the government.
They are open only due to more than $1.1MM in PPP and US govt small business loans taken during coviid as well as massive dilution from 30.6 MM shares at the end of 2017 to 5.1B shares by Oct 1 2020! This is as WCVC lost $1.7MM in 2019 on an accounting basis and lost more than $1.3MM in free cash flow in 2019 BEFORE covid. This was not due to start up costs as they lost money on an OPERATING basis as a burger costs more for Illegal Burger to make than they charge for one. They finance via death spiral convertibles which have 10-12% interest rates, convert at 35-50% (so your “cheapies” are twice the price they can pay at the same time - that’s never cheap) of the lowest price from 3 to 25 days before conversion and death spiral SPA dilutive equity. Covid didn’t stop the franchise. No one smart enough to have the capital necessary would pay a royalty to a company with an easily duplicated unproven concept with no financial resources. Even if it did somehow work out there is no shareholders agreement, no practical voting power from outsiders, and no shareholders agreement so you are just hoping Jim decides to share any future profits. He’s not legally bound to and chose to dilute in order to pay the loan secured by his mortgage so it’s obvious where his priorities are. Illegal Burger restaurant is not a scam. WCVC stock IS a scam. They are different. The only ones profiting from WCVC are the SPA and convertible holders who make a huge return whether they stock goes up or down and the volatility makes these even more valuable. They can only lose if the stock delists before they are out.
Don’t forget PJET! Another Torno scam!
They convertible debt is not held by investment banks. It’s held by sleezy little bucket shops like JDF capital which was sanctioned by the SEC for not complying with dealer registration requirements for many LEXG convertibles and others. The death spiral PIPE business is considered too sleezy by investment banks so they have avoided it since the late 1990s. WCVC does not disclose who holds the debt (some other OTC companies do - LEXG would even link to the indenture for all the bond details) but it’s not investment banks. WCVC also has SPAs which are basically death spiral equities. In neither of these does the holder freak out up or down on the stock as they are not investments. They are riskless dilution machines. If the stock goes down they get more shares converting below the current price and sometimes with a look back to pick the best price for the debt or SPA to convert at. The only worry would be delisting. The WCVC convertibles in the 10-Q have 10-12% interest rates, conversion prices at 35-50% of the current trading price, plus the option to look back 3 to 25 days to pick an even better (lower) price to apply their discount. This makes the convertible bond or the SPA basically riskless other than a delisting and these death spiral security holders are often the main beneficiary of these OTC companies existing as well as ones who benefit greatly from short term price volatility as it makes their look back options very valuable but unfortunately means a ton of unprofitable dilution for everyone else.