Praxsyn Corp (PXYN)

[cdhames]

Anything above $50M gross will be bullish for retail; however, not enough for institutional interest IMO.

1. We need the balance sheet cleaned up and cash flow to go positive.
2. Debt Equity resolved/paid off. last I checked (several months ago there was still $7M+ in potential conversions -someone correct me if I'm wrong, it's been awhile since I crunched all of the numbers.
3. TPS needs to be folded into the umbrella of subsidiaries. Even with fee percentages reduced and applied to net billings, TPS is still a hard-to-ignore, one-channel issue.
4. A/S needs to be reduced (in order for this to happen shares must be cancelled or reabsorbed into treasury -which means preferred buybacks).

I think strong progress in all four of these areas will begin to attract institutional money. Positive net profit will be nice for a brief retail run but I remain convinced that PXYN will not achieve/sustain the next level of trading until institutional money chips in.

I think once they fix these 4 problem areas, the Going Concern goes away. I don't think we need 100% resolution in all four areas to attract big money, just consistent progress.

I'm still of the opinion that it's likely we see negative net profit this quarter due to labor/capital expenses for the billings subsidiary spin up.

I would caution overly optimistic outlooks this quarter. Slow and Steady is what I'm hoping for.