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Re: JustGoDeep post# 214498

Wednesday, 02/12/2020 10:48:28 AM

Wednesday, February 12, 2020 10:48:28 AM

Post# of 329925

Here-Print-This-Off and Take It To A Financial Expert

Do Report Back the Findings!!

Off Course I Already KNOW the Answer!! lol

And Do Explain How Biel Can Have a Market Cap of $23 Million!!

It Is A Hard Concept For Many To Understand.


It isn't a difficult concept to understand - but the concern with BIEL's share structure has nothing to do with market cap - the discussion of market cap in this context entirely misses the point.

It isn't a financial expert that's needed - ask someone with significant equities experience. THAT person will gladly explain the concerns around a sub-penny OTC stock with billions of shares. It's largely about supply and demand.

Any time good news arrives, the buying that would normally drive the PPS higher in sustained runs, is blunted by sellers willing to dump shares for early and easy profits. For one thing, flippers are just waiting for tickers like BIEL to announce good news so they can purchase and churn huge blocks of shares for quick gains. Add to that toxic lenders who seize those opportunities to sell on the upticks, recouping their funds and exiting their risky investments. Toss in some longs who bought at low levels and sell some shares so they can play with house money....

Result? The 'tsunami' that didn't happen on full FDA approval. While folks were sitting at their desks with hands behind backs and legs propped expecting pennies, or .18, or some other ludicrous amount, the huge explosion turned out to be a dud - couldn't even breach .0015, and trailed back down to nearly trips at this point. MARKET CAP WAS NOT RELEVANT - SHARE STRUCTURE WAS - AND IS.

What surprised even me was the level to which the tsunami failed to materialize. This couldn't even generate a billion shares traded on the announcement of FDA approval. That's disconcerting, and says a lot about the market's continued lack of belief in the ability of this company to generate sustained revenues and profits. I question whether even announcements of signed deals will bring the PPS gains people are expecting....guess we will see. It appears only real sales with profitable growth will do the trick, and BIEL is still months away from that position.

Market cap has nothing to do with the trading patterns BIEL is experiencing; supply and demand does. Now, when folks state BIEL is worth dollars (or even nickels), THEN look at market cap to see how ridiculous those valuations are.....

Like the CE mark that was predicted right around the corner (months ago), it's misleading to point to market cap when people express concerns about share structure. What they are - quite legitimately - talking about is the impact on trading and the ability of the share price to catch dramatic, or sustained, upward swings. THAT is a real and ongoing concern - the results of which traders have very recently seen and experienced.