I don't skirt the question. It is just I don't care about the question. It is not a a part of my financial analysis on Penny Stocks. Remember these are Penny Stocks. Not Fortune 500 companies. They all have issues like this. Investing in penny stocks is for the thrill of what may be. If an investor wants something secure and solid, and has a balance sheet that is to die for, then they are in the wrong place. Income statements, and balance sheets are not analyzed the same on Pennies as they are on the big boys. Otherwise if they were no one would ever invest in them.
Dilution of 600MM shares? So what $180k? Big deal. What does that really have to do with anything? The stock price is .0003!!!!!!!!!! So $300 of 1 million shares is now worth 12% less? Big whoop. The stock swings more than that in a day anyways, some days I gain 50% others I lose 50%. Do you think anyone is really going to care about the dilution if they all the sudden sold 300,000 more subscriptions to their magazine? That is 6 million dollars of annuity revenue.
This is what people care about. Sales, sales, sales.
Revenue is King. Where there is revenue and opportunity for revenue it is a good place to be. I have researched companies that the share count is perfect, no sign of dilution, they have no debt, but they also have no sales force, and no vision. Well guess what? Their stock doesn't move. Why? because they have nothing exciting going on to inspire people to invest with them. So their stock price stays the same moving up and down slightly.
Give me a company with debt, dilution, and a vision to change the world. That is where I want to be. Because if they believe they can...they just might do it. The hope of what may be is what allures all penny and sub-penny investors. What a boring world without.
AI
