HUMBL Inc (HMBL)

[NoMoDo]

Have you noticed the outstanding shares going up on a regular basis? Where do you think those shares came from

Actually, anything under 2 billion works for me considering the business model.

I do know that every acquisition costs money. The company can choose to pay cash, borrow money or use equity (shares). The decision is made based on the liquidity of the company, it's business phase, and some boring formula called the weighted average cost of capital (WACC).

I follow the purchase decisions of the acquisitions as they happen. I am happy that they are using debt as well as equity and a bit more equity than debt. I am not afraid of equity financing - larger outstanding which potentially leads to reduction of individual stock value. Since the company is in it's infant stage, a bit more equity will help it succeed. The otc doesn't typically have lenders willing to lend at 5%. Instead, their first option is usually toxic debt (think Brighton's convertible line of credit that was eventually cancelled). Nothing says death to a startup more than toxic debt. HMBL has no toxic debt.

The decision to use stock or add debt for me is pretty easy. I would rather lose some of my ownership to have a stronger company down the road. I fully expect the outstanding to get to 2 billion. I expect to see the price of the stock reach a very respectable amount (won't give you the number out of fear of being labeled a pumper) likely fueled by entry into the real estate title business. Then I expect a RS of 2 to 1 - maybe 3 to 1 at most. That share structure would have needed liquidity without the ease of manipulation. A company with little or no debt and a solid business plan w/revenues will be very interesting.

When HMBL rose 328,000% how many shares were outstanding? Just curious.