News Focus
News Focus
Followers 30
Posts 3351
Boards Moderated 0
Alias Born 05/02/2009

Re: dirtydave post# 110350

Monday, 11/23/2009 1:11:41 PM

Monday, November 23, 2009 1:11:41 PM

Post# of 241550

The Dilution "rate"... (Rocket's repost)

WNBD took 3+ years to issue their current O/S.

Now keep in mind that the reason why the O/S was so large is because they had to raise funds when it was MUCH lower (2007). Higher prices have reduce the issuance "rate"... The max they can raise per year via 504 is $1,000,000. If these shares were issued at an average of .005, we should only see 200,000,000 issued in the next YEAR. Or 16,666,666 per month... Then consider if the stock trends higher and higher, the dilution will be reduced substantially. A .01 average would be 100,000,000 year/8,333,333 per month... We trade about this much per day

This makes the market cap very attractive right now IMO... And remember, we are not buying this stock based on past sales, stocks are accumulated based on future potential (multiples).

Expansion into the USA mass retail market is significant on its own, but there are so many products, countries, reps, joint ventures, etc in the works, the ODDS of one or two initiatives hitting it big and attracting a ton of interest to the stock far outweigh the risk of dilution IMO.... I feel its better risk/reward than most pennies trading near the same market cap... FYI, companies are not valued based on their outstanding shares, they are valued based on their market cap (O/S X PPS = cap)

People just need to keep in mind that this stock will be volatile (like all pennies) and prepare accordingly. As much as this thing came down from its high, it could could make it all back and more with one or two big PRs. FAST

THIS is the gamble here.

My comments include many of my own opinions. Do your own due
diligence before investing.

Volume:
Day Range:
Bid:
Ask:
Last Trade Time:
Total Trades:
  • 1D
  • 1M
  • 3M
  • 6M
  • 1Y
  • 5Y