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Re: sillylung post# 10497

Friday, 07/18/2014 11:07:01 AM

Friday, July 18, 2014 11:07:01 AM

Post# of 29174
CONSOLIDATION INFORMATION/THINGS TO CONSIDER
Agreed. We get great news over the last few weeks and the bashers die down a bit....Then we get 'bad' news and they resurface from the inner bowels of Hell to try and cause a shitstorm....

We just need to pay attention to the more intellectual posts..., Here's another from Transporter on Stockhouse which Sums everything up pretty nicely. I am going to sticky this post for the time being, just so that anyone wary of this company and the Supreme dream can take some comfort in knowing this is NOT a share-printing scam, but rather a very adequate business plan. Market cap is what matters!

http://www.marketwatch.com/story/supreme-pharmaceuticals-inc-announces-share-consolidation-2014-07-18-91733941

Little lesson guys here..
Let's assume with an MMPR announcement the market values Supreme at a market cap of $80 million (pre production). With the pre-consolidated share structure at 290 million that would put the SP at 27 cents. So if you owned 500,000 shares, your portfolio value would be $135,000.

With the consolidated share structure of 58 million shares, that market cap of $80 million would calculate to a $1.35 share price and with your now 100,000 shares (1 share for every 5), your portfolio will be vlaued also at $135,000.

MARKET CAP IS WHAT MATTERS FOLKS!!!

Doesn't matter how much you slice and dice the shares, it's all relative to market cap and it's a FACT that the current market cap is UNDERVALUED!!

Use this as an opportunity to buy more shares!



ANOTHER POST ON CONSOLIDATION/MARKET CAP

theTransporter wrote: Investing 101 - Market Cap drives everything!!

It's entertaining to see all the new names I haven't seen before all come out of their caves and start preaching nothing but doom and gloom!

What everyone needs to understand is the market cap drives the SP based on # of oustanding shares. Market Cap here is already undervalued and even at 8 cents today we're about $12 million valuation.

5:1 at 8 cents will bring us to 40 cents maintaining the $12 million market cap. I see guys talking about 20 or 25 cents.. do you really think the market cap will drop down to $6 million on a company that is about to become the largest MMJ play in North America??

These guys are vultures just wanting to feed off of the weak. Don't sell your shares in fear as there is nothing here to fear. For strong companies, consolidations are overall positive. Right off the bat the penny flippers will disappear.






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