"Is a buyout out of the question? No room for that one?"
Darryl, a buyout is a possibility that I hope doesn't happen now. Thompson is the only person who has to approve a buyout, meaning you and I and all of the rest of the shareholders don't have any say in that decision.
Buyouts tend to happen at perhaps a 25% premium above the current share price. If we assume we are at 20 cents, then a buyout offer might come in for 25 cents/share. Everyone thinking of striking it rich with another 25% increase in share price will be disappointed.
Why such a modest buyout offer? KBLB has yet to demonstrate its potential. Proof of commercial production has never happened (though I think this is just a matter of time) and interest in products is all hidden under NDAs. Paying a billion dollars or so for a company with no commercial production and limited intellectual property protection is quite risky.
I expect KBLB's situation to improve markedly within the next 4 months. Certainly production and sales will happen in that time, and I assume we will learn more about end-user products as well. IMHO, KBLB would be far more successful if they waited until then to pursue a reverse split and efforts to uplist.
Multiple difficult pieces have to occur if we are to uplist by July 23. I hope Thompson knows what he is doing. To date, his actions have not given much confidence that he understands the hurdles that must be cleared for things to go well.
In the end, it is a matter of trust. If you trust Thompson, no need to worry. If you don't, there is a lot to worry about.
Finally, no. The stock market does not always follow my logic. Neither does it always follow the fantastical predictions that appear with regularity on this board. Many folks predicted KBLB would have a share price above $1 by the end of Q3 2019. We are still far from that mark almost 9 months down the road. Going back even earlier, you can find predictions that 2018 was out breakout year and calls for an $8/share buyout.
I don't recommend KBLB to friends or family. Why not? I consider it too risky. I would hate to have someone lose, say, half their investment because of dilution and a reverse split that Thompson performs in an effort to uplist to NASDAQ. Perhaps after we see what happens in the next 30 days, I might change my mind.
