Sugarmade Inc (SGMD)

[MallenNV]

Pickle, the news about the 1/200 was to scare those who invested already to buy up more so they have a decent amount after the RS. Investors calculated that if they own 100,000 shares they paid on average $.005 ($500) knowing that if SGMD does the 1/200 they would own only 500 shares. The logic is to keep buying more at this low price and accumulate another 1,000,000 shares at $.0004 ($400). That means they would own 1,100,000 shares they paid $900 for combined.

If SGMD does the RS, those 1,100,000 would end up being 5,500 shares. $900 divided into 5,500 shares comes to $.16 cents per share with the hope they pump it back to $.40 so they can sell the 5,500 for $2,200 and make a $1,300 profit.

Keep in mind that this is SGMD's and the debt investor’s money and you can't have any. And just like the decline now that keeps everyone at a loss will happen after the RS. Sure they will attract more new investors who buy in at $.16 and they also will end up cost averaging down like most did already.

Anyone getting this yet?

Everyone has some excuse or answer why all this happened that never points to the facts, just beliefs. That is the main reason these OTC's stay afloat, no one looks at facts or data just a wing and a prayer.