Dunno if anybodies read this...just appeared on SH....
I have some interesting comments from a disinterested third party............I have only done this a couple of times before. Usually when I have done it, its not worth the slings and arrows I get via the PM system and here on the public side of the site. Its not usually worth doing it. Mainly everyone wants to know how I can verify these remarks or opinions. Well I/we can't.....these guys are not going to screw up their careers for me and some idiosyncratic wonk that won't "buy" the comment or the piece of information. Same again here, don't ask, and if its too far outside of the realm of your belief system, then pass it off as BS and move on. I don't mind.....Its all your choice. For those that can use this as a portion of their own DD, take it for what its worth....another mans opinion.
One more proviso....to the noodle heads out there that want to save us from ourselves or save us from those unscrupulous "pumpers" that work these boards. Its Sunday, go to church and save yourself and learn to love yourself first ! Then and only then, come and save us from the big, bad pumpers that part us from our capital, and teach us to love "ourselves". God ........are they that misdirected....?
Some of you who know me, know that I spent some time in the brokerage business in the late 1980's, to those who did not know, I did !
In the time and space spent in that business, I made many friends and acquaintances. Some I still keep in touch with to this day. One of which is now a senior researcher for a mainstream brokerage. Occasionally, I send him things to look up for me. I ask opinions, request further information, and some feedback as to my thoughts and ideas. Last week, I sent the FNDM file to him. A collection of all the work I have assembled on the situation, most of which was posted on here. I don't know much about the OTC other than its shining reputation as a fair and just platform for market trading. Caveat Emptor as the saying goes.
He laughed when he picked up the phone, snidely revealing his inner thoughts on the OTC and its workings. These guys tend to get a bit jaded dealing with the blue blood stocks of the rich and forget where they came from, this I reminded him of straight away. I jousted with him trying to get him to see his error of ways, he was confidently emoting to me. Once his holiness had come down from his ivory tower. (With some coaxing, a biscuit and a glass of warm milk) We had a great and in depth conversation.
I will spare you the many intransigents of the whole conversation and take you to the most interesting remarks by him. Again, he's not about these pennies anymore and shuns them with a whole bunch of emotions. But somehow, what he really liked about FNDM's potential, was an old facet we used to argue, cry and beg for in all of our trades (clients and personal) ..........and that's "profit potential"......long and short term.
He looked at the 10Q from this past spring. Knowing him as I do, .......with a fine tooth comb, I thought to myself. He asked me how much I had and why "I" bought it. He said..."could be a great trade".......and also said ..."its headed back over $2 you know that right"....(I mentioned to him to pay special attention to the rights, warrants and options granted and at what price-and said this was my target based on all my DD) I said yes and he said..."most likely by the end of September or before".....I asked why...he said..(not before scolding me for not thoroughly reading the 10Q well enough)............"because if they have an increase or a doubling or triplication of revenues....(rumours ?)......the market cap already does not reflect current assets, and in the event of a multiple in earnings then a sub dollar market cap definately would not justify these potentially increased sales or revenue figures".....(as I mentioned last week-credibility and appearances) so whether market forces or company forces do it., its going higher"....and the reason its going higher short term is..?..."so they when they file their quarterlies for the third quarter results, in the fourth quarter, it will show a dramatic turn around in the market cap and give them much needed goodwill capital, credibility and exposure to the eyes of the finance world in New York, and other centers"...
I asked why again is this so important ?"the ETF's they work with and for are all listed on the big board on the NYSE.....so would you want to be running a company that's got a sub book value market cap when dealing with the most prestiged markets in the world ?".....(image, credibility, presentation)..."and would you want to be dealing with a company that can't run its own operation, control its own stock (legal means), market itself or be on a decent exchange"?...this is where the NASDAQ part of conversation started....
I asked him about the sell off from the disgruntled shareholder....."not sure that's the way or why it happened but one things for sure the company would not give it buying support till he ran out of shares otherwise much of their goodwill capital and actual monetary capital, would have been flushed away trying to bail this situation out so the strategy was probably to let the market deal with it as he exhausted his shareholdings ....all...while they got their administrative ducks in a row"...
His final words........"from a multiple point of view, once the wider investing public cottons on to it, it could be exponential in returns"..........(would he buy some ?).....he said..."I will think about it"....you see......... even the hard cores are affected by profit........have a great Sunday....
