Right... but don't convince yourself that the tree isn't going to shake.. I wouldn't be surprised to see a ~20% loss on Monday.
I do agree however that there is no reason to do a reverse split for this company right now unless they want to insure PSID gets onto the NASDAQ once the PR of contract is released.
Can anyone make a convincing argument as to why the reverse split represents a sign of weakness? If we were about to fall off of the Nasdaq, this would be weakness, but we aren't. If we didn't have a contract with Boeing, SAIC, had just won the testing phase of a 3.1 billion dollar contract, had numerous patents on the technological edge that are highly sought after, the reverse split would be weakness, but we do have all these things.
Even if they knew we didn't get the contract, what would a reverse split do at this point?
The only logical story is they want to set the groundwork for popping this thing from the 25 cent range to the 2.50 range overnight when the time is right.
I also haven't heard a clear explanation as to why this 'screws the little guy'... On a 10-1 forward split.. The PPS calculations by Rob still hold up... Let's say he way overestimated and we only get 25% of what he suggested...
So if we do a 10-1 split and hit 25% of Rob's suggested PPS... we are sitting at $15 instead of a $1.50.. however we are still up ~7500%
In the short term.. this is going to hurt... In the long term.. they are setting us up for a big run. Nothing else makes sense..
If someone can convince me otherwise, please do.
AI
