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Re: Lfrye post# 15822

Wednesday, 03/10/2021 2:33:49 AM

Wednesday, March 10, 2021 2:33:49 AM

Post# of 17105
Why do you keep assuming a short seller would initiate their position at the low? I've disclosed the strategy plenty of times. Load up anytime it goes significantly above $4, and take profits anytime it goes below $0.8. The reverse split price was at $4.5. RCAT hasn't moved anywhere.

A thing I like to do to make sure I'm not the dumbest person in the room is to humor the other side of the trade. Has any of you done that?

Do you know what RCAT paid for Fatshark? Do you know what the IPO money will be used for and do you know the ROI of these plans? What does RCAT specifically, as in the original company before all of the acquisitions, bring to the table? Why the acquisitions? Why RCAT and not some company that was already established within the industry? What are the synergies among these acquired companies that they were unable to solve via regular market mechanisms such as purchase orders, partnership agreements or other forms of contracts, which are a lot cheaper and less complicated than flat out acquisitions? Who has been paying for the acquisitions thus far? (RCAT doesn't generate any profits - not then and not now). How much cash was injected by the current leadership team during the reverse merger? (How much skin do they have in the game). What was the growth rate of Rotor Riot and Fatshark for their last 5 business years? What was the growth rate of their respective markets, the ones they actually do business in (not some potential market in which they have no prior and current sales)? How has the market share of these two companies developed over the last 5 years?

Find that out! Now you're actually doing research, not just regurgitating numbers that they want you to see. If after answering all these questions you're still long, then at least your conviction is based on the fundamentals of the business and not the hokus-pokus of this pump & dump.
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