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Re: User-65225 post# 55373

Thursday, 01/01/2009 2:32:59 PM

Thursday, January 01, 2009 2:32:59 PM

Post# of 241130
Comparing the "rate" of dilution to the SALES GROWTH is always the best way to tell if a pink stock i making $$$$.

Since we dont have filings we have to use our analytical skills to see if they are "talking the talk, or walking the walk"... This also allows us to get in EARLY, before they start PROVING #'s and the stock starts rocketing towards a 9 figure market cap IMO...

Its also important to note that we do not need more $$ than the company is WORTH, for R/D, manufacturing, and marketing.

Has anyone ever seen a penny stock that produces medical devices or some other type of electronic device, make it anywhere? I've never seen one!... It costs too much $$$ to PRODUCE that TYPE of product. Then you have to invest heavily in marketing/salespeople to SELL IT.... and its not CONSUMABLE, so you are constantly trying to find new leads, instead of seeing a continual revenue stream from the ones already established

Even the few pennies that have management with good intentions FAIL cause of the lack of REAL funding available for penny stocks.

On the other hand, WNBD can produce their product for under $1 per bottle (raw material costs) and they WHOLESALE it for $4-5 (depending on purchase volumes/sales levels)... These types of margins allow the company to FULFILL orders and invest heavily in marketing, which allows them to GROW THE BRAND...

...which in turn allows us to reach PROFITABILITY.

Follow me close now... WNBD's "top shelf" product carries even better margins than a product like Windex. The PROFIT from each bottle of Winning Colours sold at WHOLESALE is MORE than the RETAIL COST of Windex.

For example, WNBD makes about $3-$4 dollars PROFIT (before overhead expenses) per bottle, while Windex RETAILS for about $2.99-$3.99... Keep in mind this is the RETAIL COST (what the consumer pays) for Windex, the WHOLESALE cost is about $2... The PROFIT is even less than this when you subtract raw material costs.

This is why a national USA account is so darn significant for WNBD. Sales volume will skyrocket, while raw material costs will drop as they increase raw material purchase volumes and efficiencies. Profitability is not very hard to reach for a CONSUMABLE product company with MASS retail penetration.

This is the BEST type of penny investment IMO

My posting contains many opinions. So please do your own research and validation.