SunWorks Inc (SUNWQ)

[Sprech]

My honest thoughts on the insider sales:

The business model of Solar3D seems to be to acquire great solar companies by offering the owners a healthy amount of stocks which they will sell in scheduled blocks pursuant to 10b5-1 plans throughout the year to get paid. This is the only way owners of high revenue, profitable companies would sell their companies for cheap.

Well, it definitely works in terms of helping us to acquire great companies. But there is an associated dilution with it, and obviously insider sales never look good to new retail investors. Both have a negative effect on share price.

As with the much vaunted pnotes, the same concept applies here IMO in that the following question must be answered:

Is the negative and dilutive effect of the insider sales outweighed by the increase in share price caused by the additional value created in the company.

If guidance is met, which is $40-45 mil revenue and profitable for 2015, and the organic growth continues and we get more smart acquisitions which increase revenues/profits, then I believe the share price will rise significantly and the answer is yes.


If guidance is not met, and JN fails to deliver on acquisitions, then the insider sales are not worth it and share price will stagnate. AND I'M OUT.

I do believe guidance will be met. We'll see.