I want to start this post out by saying that I try to be as honest, and straight shooting as I can. With that being said im gonna answer your questions (specifically your 2nd question) with honesty, even though its not what some people agree with, or what some people will like me saying.
1) I am not sure what you mean by this question. If they dilute the stock at .5 or not, if you are able to sell all of your shares at .5 and you hold 120,000 shares then you will have 60,000 from that transaction. However, if they are diluting into the open market, ie selling shares from the company to share holders, instead of share holders to other share holders, then it will keep us from moving us quickly and generally weigh us down from reaching as high of a price. The stock market works on supply and demand, and the PPS reflects future and current standing of the company. If there is a larger supply, and it keeps on flowing, given the same demand, the stock price will drop. Fair valuations are usually determined by # of outstanding shares x PPS. currently that is around 700 million x .0053 (although i would be willing to bet the O/S is larger than 700 million now). This value is known as the market capital. A market cap for fair market value on a stock is the revenue x a P/E ratio (price/earnings). Usually this is modestly 10-15. So if the company makes 10 million a year and has a p/e of 10 then the market cap would equal around 100 million. So at 700 million O/S that would put the stock price around .143 or so (700 million x .143 = 100 million). In OTC and pink sheets though this PE ratio deal usually does not work, because they run on emotion and rise and fall very easily with pressure, but that is a different lesson. Also, most otc and pink don't have revenue and are operating in the red.
2) I honestly think it could go either way by christmas. From my experience with OTC and pink sheet stocks always fall after a peak usually never to return again, and I am very afraid and cautious about this one being just like all those others (especially with Ike Sutton involved and given his reputation). But I will probably hold 50-100k shares for the long after i sold out with profit and initial investment, just in case its the real deal. I am very afraid that the stock price may be down to the .002 .003 range by christmas if this ends up like the others. However, if they actually turn into a real company with real contracts and real business i would say as much as around .2 or .25... probably not dollars. Dollars would take a lot of business and/or a restructuring of shares. I am dreaming for a dollar but probably wont be holding a significant portion of my shares for it. THIS IS ALL IMO Many people either think this is going to dollars easy, or they want you to think that so you can buy their shares at the peak. Either way my opinion is honestly .002-.003 range OR .1-.25 range but dont really think itll fall in between really.
