My philosophy with these hype driven stocks (or pump and dumps, depending on your persepective) is to flip them while providing good information and analysis and being honest about your expectations for the long term prospects.
In PNTV's case, I see huge headwinds and a very poor track record.
- MJ is facing federal challenges
- MJ is a very competitive business and there are some very large players in and moving in
- MJ has a high tax structure and requires expensive middlemen
- PNTV has and will continue to rely on toxic notes for cash
- PNTV has and will continue to burn large amounts of cash to keep the business going
- PNTV has had a decade of predicting success in various business ventures and the Comcast lawsuit, none having ever actually generated success
- The speculation about a large monetary settlement for Comcast is wishful thinking. Even if terms were confidential, any material impact on PNTV's finances, would not only require an 8k (such as repayment of all toxic notes), but they would be singing it from the mountain top.
- The continual delays in production and excuses are a pattern that has continued for a decade with this company.
- No update on the OS since 10/31/17 isn't good news.
Good luck to all, whether you flip, buy and hold or simply watch.
"There's a sucker born every minute, 2 to take him and 4 to lend him toxic debt" PT Barnum's investment advisor.
