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Re: TenaciousD post# 4216

Wednesday, 08/12/2009 4:41:11 AM

Wednesday, August 12, 2009 4:41:11 AM

Post# of 7027
Yes, I spoke my peace. And quite honestly, I still like the 'apparent' growth of the company. I like the uniqueness of the product. I like the Bella Pixar connection, along with the MRG connection. I like the overall company and 'story'. And especially, I liked the chart uptrend, which for a time, signaled a reversal from the long-term downtrend. That uptrend reversal was broke however, when it starting hitting the .0017's, and clearly, only because of 'merciless' dilution.

I'm all for accretive dilution. Excessive, uncompensated dilution is another story. By 'uncompensated', I mean a 'not giving back, for what WE are giving'.

The whole concept of investing is a belief that someone else can make more money (for us) using our money, than we can, ourselves.

They have to be trustworthy though. They have to exhibit rationale. Good judgement. Timely execution of critical matters. Failure on any of these points draws into question the intended success of the overall plan.

Does Ford roll out a new line of cars without alerting the general public? No.

Does McDonald's introduce a new food/beverage w/o alerting the general public? No.

Did K-Mart launch the Jaclyn Smith collection w/o alerting the general public? No.

Then why has MVBY began a 26 show program w/o alerting the general public? This, I DON'T know!

Every growing company generally takes advantage of every opportunity possible, to 'sell their product(s)'. A PR costs $50-$100 (plus perhaps a PR writer's costs, of which the CEO can often do themselves).

The ball was dropped, in this regards.

Combine that with (at this point in time) an unjustified rate of dilution and red flags go up. It's as simple as that.

Dilution is still fine though. However, I'm not going to buy new shares that only cost the Seller 1/4 - 1/10th of what I'm paying, AND I'm not going to assist (by various forms of support) that Seller in making ungodly profits.

If the CEO cannot find a way to sell less shares for more money, well, I'm sorry. I can't be a part of an inexperienced or mis-guided management that uses an investment banker who has no discretion (much less, sympathy or regards for the common investor).

Let the dilution continue. I may be back when the rate of company growth exceeds the rate of newly issued shares. That is, if I haven't already found somewhere else more worthy of my hard earned financial support. And if I'm correct, I'm not the only one who feels this way.


L~



"took me 3 long years to make a million bucks over night"

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