That's exactly right investor911, AAGH is just getting started!
The current revenue for their existing business is solid and even supports our current share price without WWTBAM in my opinion. Add on the ad revenue from WWTBAM in the coming weeks and this will have a huge impact on AAGH's share price.
The reason this stock was so undervalued this past year was due to the fact that we hardly ever received any information or updates on the progress of WWTBAM or the company. Many were skeptical and didn't have a lot of faith in the company due to a lack of communication; that created a lot of volatility. As a result, when the occasional news update would come, the stock would shoot up and then drop off with profit taking. That's probably why we are seeing a current floor at .14-.15 with heavy volume on Friday. People are taking their double (or triple for the longs) and walking. They want to enjoy their three day weekend and spend their profits!
However, the recent WWTBAM news is not a speculative progress report... it is confirmation that AAGH has a green light for the WWTBAM show! That's huge! So, for those who are patient in the coming weeks, this stock will start its next leg up from here on Tuesday after the three day weekend. IMO
Here's why:
Logically, there is still a lot of positive news in the pipeline we can expect to hear in the coming weeks.
First, they started production this weekend, so we will probably get news on what celebrities will be in the first shows, etc.
Second, the future profit growth for the company will come from WWTBAM ad revenue. So, although we may not get a projection for ad revenue from the company right away, we will probably be able to project it on our own once we find out what those ads will cost. That info should be pretty easy to find out since any advertiser interested in the show can get that info from the company any day now.
Third, the steady climb of the stock price as well as the magnitude of trade volume (as opposed to its sharp spikes and subsequent falls in the past), indicate there is a bunch of eyes on this stock and many players involved (some possibly in China as suggested by a few on this board). Couple this new class of investors with the upcoming ad revenue, and we can easily see this stock is just getting started from here. IMO.
Also, on speculation, I don't want to leave out the possibility this company may get the chance to produce other shows or profit from the Olympics in China in the near future. It makes sense to me, especially since AAGH is well positioned to do so and has shown they can make things happen in China!
So, we'll see, but I'm holding onto my shares for a while. Another reason I'm holding on here is that since the short term income growth of the company is virtually guaranteed now that the show is going to happen, we won't see this stock price fall back down much from here. There is not a lot of risk in holding on at these prices in my opinion.
GLTA, and this is of course, my two-bit opinion on the subject.
two-bit sage
AI
