well i guess that is one possible interpretation
and thanks for taking the time to clarify
what you believe are the signs
here is what i think about those 5 questions/observations
1. GDGI got their fins current for EOY.
What reason did they bother to do this?
because, as i said, at the time they said they believed they had a sale coming very soon. and they did not want to look unnecessarily bad by not filing 10k reports while people were looking to make a big purchase from them. i could see how not being current could affect the perception of a customer for a potential major sale.
and why does any company ever bother to file 10k reports? only when they think they will be bought out. no. you just do it. arent you required by law to file them sooner or later? people file them because you look rinky dink if you dont? so when you can afford to file them you do. and when you cant you dont.
2. GDGI was replying to investors on a fairly regular basis and now rely if at all.
Why the sudden silence?
perhaps because they went to testify to the SEC and they realized they are not comfortable with trifling with the prohibition on sharing material non public information with individuals instead of putting out to the general public all at once through accepted channels thereby making it public information. perhaps because they feel more comfortable saying nothing than saying "nothing" - they would rather leave you guessing than tell you nothing has happened and at this point they have to admit they are not able to predict sales as well as they hoped when they said very soon several times at the beginning of the year.
3. There has been no dilution for several months.
Why not? (every other penny stock seems to do this on a regular basis)
because they are a rare pink sheet company that respects shareholders and would rather go without pay and cut expenses than burn cash the company has not earned yet at expense of shareholder value. certainly a good thing! but nothing to do with a buyout. if there were twice as many shares outstanding would that affect the potential for a buyout? no. that is completely irrelevant. see?
4. Once GDGI got current on the fins they went right back to being late on the fin reports.
Why bother getting current just to fall back into delinquency?
again, companies like to report because they are expected to and have some kind of legal obligation to get it done sooner or later. at the beginning of the year, they got enough money to get current. they hoped to get some more. the fact that they did not file does not suggest to me magicman is coming from the clouds to buy them out. it suggests they havent made any money yet. why get current? because you can. why not stay current? because you can't if you don't have more money to do the filings.
5. Since that large buy a few months ago the stock has been held down which looks purposely done.(BTW its around 5 mil shares, I think so far, that were sold short in the last few months.
Why do we see so much shorting or holding down of this POS?
that is a mystery. it is such a trifling quantity of money there. and i thought you had to be some kind of big shot to find a broker to lend you shares of a tiny stock like this to short. so that i guess i will say is odd to me, and might suggest someone is trying to keep it cheap while they arrange a friendly takeover (hostile aint happenin with 2.3rs in float and held tight)
but then there has been shorting before too
so the shorts might just be shorting because they perceive the price support is all coming from hype and when that hype does not pan out in the short term, the stock will fall temporarily as the disappointed and impatient make their exit
as i said, one shareholder has changed his mind about selling 11 million shares july 1, but that statement could make a reasonable person consider the possible profitability of a short sale
