Dilution doesn't hurt. It's mathematically equal pre and post dilution. So why do some of you have such a problem hearing that?
But thanks for posting my other message. I hope everyone reads it.
What hurts is when "psychological pricing" drives the stock back to pre dilution levels because the company is still viewed as over valued because all it does is lose money. Sounds like SFIO.
That's when people get hurt by dilution. It will likely happen at SFIO unless they start reporting growing sales, which they may do, but nothing is guaranteed.
"Longs" continue to take a beating as dilution continues without measurable positive momentum, and the stock continues to decline.
SFIO doesn't want its shares to trade at sub pennies. No company does. So "bank" on SFIO doing a reverse split in 2011, after they start to deliver on their business plan.
They'll have to further dilute the stock because they will still need to pay vendors and service providers. Without cash, all that's left is stock.
The key will be how long it takes for revenues to mount up. That won't happen without advertising dollars. A web site shopping cart
doesn't mean anyone is using it. People have to know it's there.
A consumer product won't catch on until people can see, touch and use it for the product to catch on. There has to be a grass roots buzz.
I'll end this by letting everyone know I am in this stock for the long term. I have my head on straight and believe America needs products like this to help people quit smoking and for the betterment of American's health. I also will continue accumulating the stock as it goes down or up, because SFIO will introduce a shopping cart next month selling the Smokers Option, as seen on the web site under the "products" drop down menu ... and then click on "smokers option" and see the pictures in row one.
E-Cigs won't be available for several months because they have to be manufactured and that has not begun. Advertising has to be way out in 2011 if it is even going to happen next year. They don't have the money now. If they had it, they would be advertising in Europe; just like American tobacco companies that sell all of their products through distributors.
If SFIO's management is sincere and they have enough money to promote their product once the full line is available, they should be able to capture market share. I want to make sure I own plenty of the stock when that happens.
