This post is going to be kinda deep, but hang in there.
There is an inherent problem, with the 2.5 cents a share logic. We are fixed on a static price ($0.025) here. Remember, we look at the stock market as a dynamic forward looking system. Do not predict a future stock price of LAHO based on today's price because you and I would still be looking at a 0.0029 basis. Prognosticate on what market value the merger will have in the future. This is where large price gains happen, and a valid reason for using multipliers to predict pricing.
So, the 2.5 cent estimate is based on today's share price. You and all LAHO shareholders have to ask what will be the share price in x number of days into the future? What will retail investors perceive pricing to be as time compresses towards LAHO filing and merger finalization? You are suggesting 2.5 cents a share, but what is that range in the future as merger events complete and time moves further into October and November? What will LAHO's share price be in x number of days post merger? These time frames will see dynamic pricing changes daily. Fluctuations in share price will overwhelm $0.025 share in my opinion.
What I am saying is, once the LAHO current status filing is done, what will be the share price at that point? And what will be the perceived share price be as investors look past the completed merger into the end of the year and into 2020? You, me and all LAHO shareholders are holding for that share price appreciation based on future value that must consider not today's value but what a mathematical model predicts into the future. A future share price based on the status filing completion that will be influenced by the merger final and influenced by pricing post merger.
To this predictive model add an intangible, emotions.
Emotions will play a large part in this equation and that my friend is not quantifiable. That is why we have "the sky is the limit" phrase mentioned often. All in my opinion.
I do not provide investment advice. This post is my personal opinion.
