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Re: martinmoney post# 3919

Saturday, 11/13/2010 1:09:47 AM

Saturday, November 13, 2010 1:09:47 AM

Post# of 263718
That article about R/S is for normal stocks on presitigious exchanges. I remember reading a PR on a company that was NASDAQ listed but in the 50 cents range. They put a whole series of PRs out on doing a RS and why. I didn't follow it, but the information made sense. The NASDAQ company would RS past the $2 mark so they could reach better quality of investors along with other good reasons. That process of informing the investors probably made the RS work for that company.

Here? Its not institutional investors, but finicky day traders. If it doesn't have the potential for a 2 bagger in the next week or two, you can kiss the PPS goodbye. An R/S tends to scare away investors as the active date draws near, and when it happens, poof, you just found out how shares can lose value when then were once at .0001.

IMO

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