This is company, grown on the public market by a smart man and a lot of hard work. Your argument against him/them is such a clear Marxist proletariat view. You simply can't ignore the correlation between your version of the SUNW story and the macro view of the financial world, where the rich get richer and the poor get taken advantage of. Here we have a system that is set up to legally do exactly what you describe, the people "in the know" get to design the notes, sell them to whomever they please and profit absurdly from them, and you sit back and cry foul. Welcome to reality. The 1% behind wall street swindle trillions from the rest of the world and when something goes wrong they get fined a few million and continue. The rich run the show, and we get to gamble on the sidelines with a few bucks. You've really outlined well how it all works, but it doesn't change the fact that in this scenario, Nelson and the investors are the bourgeoisie while you are the proletariat.
As I've said before it's not the facts you get wrong, it's fact that you complain about them doing what is perfectly normal within "their system". The goal for them as business owners of course is to build wealth for themselves and their immediate family, friends and associates. They do so legally, and according to their rules, which is far from your Utopian moral and ethical "right way" to start a business and/or make money. This is a capitalist world, where you can have unlimited gains. Some CEO circles would argue that Nelson is nailing it. Put yourself in those shoes for a minute. The shoes of the investors Nelson sold the notes to. He approached them and sold them on him making a company happen. It was a high risk, high reward scenario, and for that group of people he nailed it they all got what they wanted. For Nelson, a business, for the investors, a quick and healthy ROI.
As someone else said here, us trading on the secondary market is inconsequential to their goals. The long term prospects for the company are great, you've even said this yourself, yet you continue to slam the means to that end. There may or may not have been many options for Nelson. Maybe he is the one who got truly lucky, or maybe his hard work paid off in spades when he was able to sell those notes, we just don't know. Either way, that's all said and done and now the company is where it is.
The company went from being a zero, to a solid growth micro cap. In doing so the PE went from about 170 to around 7, all normal for companies moving from pre-revenue to profits. There is little, but growing institutional investments in the company, almost 5% now, but the company is still young. They are part of the Russel microcap index. The "tutes" see what we all see as well, they know when is the right tome to climb on, and imo they will when that time is right. The company is being run efficiently, and is doing a fine job, meanwhile you keep throwing stones because of the method in which Nelson chose to get here. What really were the alternatives? Should he have levered a ton of debt and sold promises to everyone that someday we'd make money, only to have a few years go by and find out they breached a covenant and now the company was going to go bankrupt causing all investors to lose it all? The stock is still trading, and will continue indefinitely and although down, is not out.
I mean who got screwed here? You keep saying all these people were misled, but really, who lost out here? Those that took the risk to gamble on the open market by buying into the company PR's at any point in time prior to X or post Y? Guess what? It's an investment, which means there is risk involved, you could lose all your capital, and it usually takes time... long term investment here. Some people have traded this like a champ and made a TON of money. Others have held long and lost money on paper and some have realized losses by selling.
Is this the bottom? You claim dilution is continuing, and that may be the case, but it doesn't spell doom and gloom for eternity. The notes and conversions are all fixed at this point. There's an end to it all, it's not an endless equity destroyer. The company is growing and Nelson has shown that he can turn a profit operationally, as well as gaap net.
Given that the growth continues, there's a clear pivot point in the future where the dilution ends and the profits continue. This is not a failing business, but a growing one and knowing this now there's a point in the future to where the chart will turn around. In the end it's all about EPS.
Is there 50% dilution left? Is there 75% dilution left? or is there 5% dilution left? You tell me because you are such a pro on the notes. Then the bonus, aside from Nelsons that isn't due until death or 2021 or sale of the company, or retirement which I don't see happening in the next few years, what's the quarterly non-cash stock comp worth and its net effect on EPS in 2016, and then in 2017e for the same.
You can sit there and throw stones at the train all you want it's not going to slow it down. I think what Nelson did is remarkable, and not in a bad way, but in a great way. He's given people jobs, he's saved countless people tons of money by helping them convert to solar. He's helped the environment by doing so as well. And yet your gripes continue about how he's had to change direction a few times to ensure his company and its shareholders don't lose it all and wasn't 100% upfront about it because this is the way business works. You claim these pivots because they aren't explained in detail, the moment executed are toxic, scam related activities that serve one person, Nelson. I look at them as great strategic moves that benefited us all in the end. I wasn't looking to get rich overnight, I was looking to get into a company that was going to someday be a nationally recognized household name, and it is almost there. The company is making strides, and has some serious goals for the coming year, which I hope are revealed in the near term which will in turn result in some gains on the chart.
As for the people getting rich? They're the bourgeoisie. They will always keep the lions share of the wealth. Just look at what the top execs anywhere pull in compared to the rank and file. This is the way the world works. This is the way the financial system works. This is the way the stock market works. This is how OTC companies are started. This is how companies get financing. This is the way a Micro cap trades. This is the way great companies begin....and I'm proud to be part of it. It's unfortunate you can't just zoom out and look at what other companies do in contrast to SUNW. SUNW really is a great company, with great leadership, direction and promise. I'm looking forward to another great year and I hope the financials reflect my positivity about this year. As long as the company continues to improve EPS, at some point the ticker will turn around and continue to grow. Meanwhile the notes and beginnings you loathe so completely will continue to fade into the background. More and larger voices will speak, write and debate about SUNW current events, relegating all this banter about the initial capital funding to the anuls of history...
Long
