PharmChem Laboratories Inc (PCHM)

[LMLYP]

Do we have a toxicologist? Have they invested in assays? Are they in expanded markets? These are things discussed in previous letters that will be written about today or very soon. The result over the years of no new investments, despite their discussions, has been a rapid uptick in equity. No news has been excellent news for investors.

"Where do we go from here?" We can glean a few things from the tone and commentary of the letter. However, the company under promises and over delivers. And I'll go back to the future expansion of 24/7 programs. While I am not seeing growth in S.D. for the past three months versus a year ago, I am looking for a update this week.

We may have close to 90 cents, $1 a share in cash at the end of this year. That's our anchor. And/or the companies expansion opportunity. The PE is very low.


It is time for them to communicate more. They have given shareholders 16 cents in dividends. I too believe in the trade-off with the ESOP. Stock Appreciation Rights can be more valuable than Stock, but the goal is maximizing the last remining piece.

I understand your point of competitive threats going forward, and whether or not we participate in new products. But this turning point will take time. The patch continues to be adopted, and heading towards our sales models. Based on my time horizon, we are very early. Monster future dividends.