I think you might need to take a look at Yahoo.com financial page for ACTC.OB. Then go to the key statistics. You'll find a daily calculation of the enterprise value (EV) as well as the market cap. If you are a fund strategist, you are going to monitor the EV very closely with these 2 aggregate values. And then you can push through a share price based upon the number of shares. ($171,070,000/.0845 = appx 2.024 billion shares outstanding.)
Example: Today the EV is about $171.07 million. As Micro Biotechs (like ACTC.OB) begin to gain traction, that value will be gradually raised. With a successful Phase II that value can rise into the $240 million range. With a successful Phase III the EV can reach $360 million. With FDA approval, you can see over $500 million. (of course on a massive rumor of a buyout, the stock will gain value not based upon EV but on the basis of the bid to take out the shares.)
Problem with this rule of thumb is the number of shares outstanding. If they expand, guess what, the share price falls. If there's a reverse split, take that same EV and divide by the number of shares.
Again, again, and again, if you want to understand how to value shares, you must truly see what adds value to the enterprise. Successful trials, specific results published in the prestigious journals and having independent parties confirm the value of the enterprise (stock analysts). These are major accomplishments. But, they do NOT speak-to-pie in the sky valuations. Thus, for this enterprise to rally we'll need a whopping rumor.
So, will the the share price rise or fall? Look at how the Company is doing. Is it doing enough to prevent further shorting by large hedge funds? That's the key.
AI
