I am happy it’s risen, again, today to close the week with not just an up day or two but back into a technically bullish area.
Why is it that all of retail talks about “trading around some core position”.
Whatever.
PEIX is NOT paying down $30 million in debt per quarter. I didn’t see that in the MRQ and they don’t have enough quarterly revenue to do it anyway. To suggest or believe that they are is simply wrong.
ONCE the $75 million dollar Reg-A PROVES to be accretive and once the $10 million dollar Burley sale PROVES to be accretive then I will wholeheartedly agree that the $5’s, $6’s and even $10’s will PROVE to be undervalued.
Before that, it’s a speculative penny stock. I don’t comment on long or short positions for penny stocks.
FYI: Raising capital through dilutive share offerings alone DOES NOT increase earnings per share. It decreases them.
Let’s say I have 80 million shares and I earn $0.25 per share in a quarter.
Next quarter, I earn $0.25 per share on a post dilution Reg-A share count of 90 million. Simple math proves I earned less per share. I would have to increase revenue ON A REVENUE ONLY STANDPOINT to increase EPS that muted the dilutive effect of the Reg-A.
I don’t know what your “long term” time frame means. There is no prior reference that you’ve given which I have seen.
I also don’t know your education or experience level so your “analysis”...well...I hope your analysis capabilities serve you well.
I’ll tell you this: not too incredibly long ago PEIX was at historical highs of $19.+ (****please note that this high is split adjusted on a 13 year chart****if you can’t see the splits, get a better charting tool)
If your “long term analysis” didn’t see that precipitous fall and splits coming well then, you’d be terribly upside down today.
Take care and have a nice weekend.
