Why 1000:1;
I'm just guessing. I mean my first thought was I would have rather seen ITRO break 1c all on it's own before the R/S. That's what we were all thinking. However, it was also getting obvious that serious investors didn't want to touch a sub penny stock.
He could have done 100:1; but then ITRO would be .19 cents and if there was a massive sell off it would again tank to low penny or sub penny again, just on fear.
At 1000:1, ITRO is now at $1.90. So now it can do a couple things
1) It has some room to fall; it could go all the way down to .25 and it still woudln't be the end of the world for it (it could bounce back).. look at Quantum (QTM) for an example of a dip to .20 and then pop to over $3.
2) ITRO could attract buyers right away and strat a climb to over $5. This would be just like it being at .0050 now. It could then continue to climb to $10. Just like 1 cent now. These are realistic targets for it's market cap and what we have been currently projecting. The difference is the stock will attract a whole lot more attention at $5 and $10 and could bring on mutual funds.
Then if ITRO really gets its act together and lives up to it's potential we could still see a run to $20-200; long term with the mining and silver 10x/100x.
Who knows, maybe they will have to do a forward split at some point if it really takes off :)
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This kind of thing also gets rid of the little guys who are only holding a small amount of shares. Remember all the weird games where the stock would break out but then someone would sell 100 shares.
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I dunno, I guess I'm just wait and see. I thought today's price action could have been alot worse. So maybe we will hold our strength into the R/S.
