American Green Inc (ERBB)

[Commoditytrader87]

I can't say it isn't concerning , but these start ups have a hard time generating financing without a form of collateralization ie revenues, assets or cash flows so equity financing is the only means to get things going to buy these machines and subsidiaries to create a value chain . You have to look at each individual issuance on a transactional basis and asses why this is being done . If its to grow the company and acquire assets that will know day generate positive n/I I think you almost have to make the dilution . I personally am not a big fan of issuances to retire debt , but certain debt must be retired within set time frame which I would have to look into in better detail . I am not a fan when your just retiring debt with equity for the purpose of retiring it when I think it should be using it to undertake various projects . I feel the same with dividends as well , depending on the yield I feel it a signal that the company's best way to return value to the shareholder is done via a cash payment I always would rather see higher yielding projects being undertaken or a share buy back because then it is a signal insiders view the shares as undervalued relative to the market . So I do like the management and to be honest the content of most the companies quotes much much better than others . But
Lets see how they keep doing things and if at one point some shares are bought back . Does anyone have an idea on a few numbers for me ... 1. The sale price of the machine . 2 the full cost to acquire the machine . And I will make my own assumptions given volume , fcs /oh per unit . As well as any other
Sources of revenues within these machines . Fwiw I usually disclose positions and right now I'm am sidelined on this one and didn't purchase today on the 100dma as I was waiting for a volume confirmation for a bounce to coincide with price levels . Either way once this company starts generating cashflows and has acquired what they can for market share it is out job to "lobby " for a share buy back it will be in everyone's best interest to skim this down . But until then there's not enough people running the numbers that you can trade sentiment as a better short to medium term proxy than say the financials .