The Penny Stock Board

[cabel]

GBDX, Global Diamond Exchange

Anyone, try to find a company on the pink sheets with better value and better future potential than this:

They have reduced the Authorised Shares once and the Outstanding Shares twice in the last few weeks!!!

361 million shares at .0065 = $2.34 million dollar Market Cap

CURRENT EXISTING wholesale diamond sales revenues (Nov + Dec 2006 only) = $2.5 million!!! The current 2 month revenues are higher than the Market Cap!!!

Expected 12 month future revenue:

$48,000,000 next 12 months or an average of $4,000,000 per month

I read on the internet (see link below), the profit margin for wholesale diamonds can be 50%.

I will use 300 million because the company plans to reduce the Outstanding Share count again, (rimor has it by another 100 million). SEE PR BELOW (current Outstanding Shares = 361,554,517 million).

$48,0000,000 (12 mths revenue) * 50% (profit margins) =
$24,000,000 of earnings per year .

$24,000,000 (earnings per year) / 300,000,000 (number of shares) = $0.08 (earnings per share)

$0.08 eps * 10 (industry multiple) = .80 (share price) (133 bagger from .006)

$0.08 eps * 15 (industry multiple) = 1.20 (share price) (200 bagger from .006)

$0.08 eps * 20 (industry multiple) = 1.60 (share price) (266 bagger from .006)

Even if you half the expected revenue to $24 million or $1 million per month, you could end up, very conservatively with an eps of $0.04 (40 bagger from .006)

Even if you half the profit margin to 20%, you could end up, very conservatively with an eps of $0.04 (40 bagger from .006)

Even if you half the revenue to $24 million AND half the profit margin to 20%, you could end up, very conservatively with an eps of $0.02 (20 bagger from .006)

Almost anyway you slice it this company appears to be a great buy at current prices!


How many Pink Sheets company do you know that reduce the Authorized Shares by 700% from 7 billion to less than 1 billion or 975 million shares as per this recent PR

December 5, 2006 - 9:48 AM EST

Global Diamond Exchange Inc. Announces Corporate Stock Restructuring

Global Diamond Exchange Inc. (PINKSHEETS: GBDX) has filed with the Secretary of State of Nevada a restructuring of the corporate stock. When Global Diamond Exchange merged with World Wide Cannery and Distribution, the Authorized Share count was 7 billion shares of Common Stock. It was never Global's intention to have that many shares authorized and management has filed papers lowering that amount to 975 million total shares. The State of Nevada has approved this measure, and it can be viewed on the State of Nevada government website.

The new share structure will break down accordingly: 900 million shares of Common Stock, 25 million shares of Preferred Class A Stock, and 50 million Preferred Class B Stock. Management intends to utilize preferred shares for acquisition and expansion rather than common stock.

Furthermore, company management will look to prevent dilution as a protection for its company and shareholders. Additional share reductions are being examined, and may occur in the near future as the company mulls over retiring some more outstanding common stock.

How many Pink Sheets company do you know that reduce the Outstanding Shares by 26% from 467 million to 376 million shares as per this recent PR. (Rumor has it they will reduce the Outstanding again by about 100 million)

December 20, 2006 - 12:52 PM EST

Global Diamond Exchange Inc. Retires Common Stock, Further Reductions Considered [/b

NEW YORK, NY -- December 20, 2006 -- Global Diamond Exchange Inc. (PINKSHEETS: GBDX) has instructed its transfer agent, First Global Stock Transfer, to retire 88,000,000 shares of the company's common stock. This action will take effect immediately and comes on the heels of the company reducing its Authorized Share count from 7 billion to 975,000,000 shares.

This reduction is part of a continued program to increase shareholder value. Furthermore, additional reduction of the company's common stock is being considered. The company is also going through a transition period right now as it gets ready to move from its temporary office that building management has been kind enough to provide, into its new office on the seventh floor of 2 West 46th Street as the previous tenant has honored its obligation and has left the premises. Management will continue to update its shareholders on the second diamond shipment and further reductions in common stock throughout the holiday season.

Global Diamond Exchange Inc. Retires Additional Common Stock
Global Diamond Exchange Inc. (PINKSHEETS: GBDX) is pleased to announced that it has instructed its transfer agent, First Global Stock Transfer, to retire an additional 15,120,000 shares of the company's common stock. This will bring the total of Outstanding Shares to 361,554,517. Global Diamond Exchange expects further reductions in the coming weeks and will announce reductions as they occur.


Also the company wants to increase the number of shipments because of the demand for their high quality Russian diamonds:
The company has also set a goal to have orders cut, processed and delivered for sale on a more frequent basis than the first two orders, in which demand was greater than initially anticipated

Link to information on wholesale diamonds:

http://www.diamants-infos.com/en/rough/index.php?rub=rough_diamond_prices#pricing

Link to GBDX board with lots of other DD;

http://www.investorshub.com/boards/board.asp?board_id=6411

It seems there are tons of shorts (some estimate over 45 million) getting caught here and this is waht we have to look forward to in the newar future:

Also we have to look forward to:

- BOD info

- 2007 yearly forcast

- Hiring of new auditing firm

- Information on 3rd shipment

- Possible opening of another new office!