Man Utd fan this is the case all around the OTC and Pink Sheet World. Companies are allowed (and have always been over-the-counter) legally to sell share and raise money to 'build' their business. What has made it harder for investors is the ability to trade/promote electronically. It has opened the door to the things you see more often today.
Posted by: gattes12
In reply to: anywho9090 who wrote msg# 252678 Date:7/19/2007 10:53:53 AM
Post #of 259741
anywho9090 the problem with the current situation is that people equate the pps with the condition of the business. The mindset is that business was in great shape early on and now in (or close to) a state of bankruptcy. The filings speak a completely different language. All one has to do is look at the reports from beginning to current to gain a better understanding. CORRECTION. Some look at the reports and nothing but numbers with no understanding of what they mean.
This leads to the sentiment that JF is a crook because of the low pps. This is a classic example of why every should read the financial reports and really understand them before buying a stock. All too often, people buy in because of news or message board posts without any regard for the financial condition/history of the company. The biggest mistake is not understanding the effects of dilution, paid promotion, company history, and board hype. When they start to lose money, the CEO gets blamed for running the business into the ground or stealing peoples' money. You see all the time. They get to the boards anew when they buy the stock after a run, when it shows up in radar, or is pumped to death by promoters/board hype thinking that they caught on to the next 'big thing'. They get on the boards and post 'positive' information. That is until they start losing money. And I mean really losing money. That is when the 'negative' posting begins and the CEO becomes a crook. Don't get me wrong, there are some real crooks out there (RAVI). But that is what DD is for. I see the progress being made (on the reports) which is IMO in no way indicative of the pps. What is indicative is dilution. If, and only if this stock gets over that hump, a reversal could indeed occur.
AI
Market Data 
Markets 
