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Re: Camcorp1 post# 656

Sunday, 12/01/2013 7:57:01 AM

Sunday, December 01, 2013 7:57:01 AM

Post# of 140474
I believe the launch in Europe is simply due to the fact that the process of getting approval there is a bit faster than FDA.

Regarding the warrants, if you want to look up the price, simply search TMD.WT.A for the Class A warrant with the 2.00 strike price that expires in June 2016, or TMD.WT.C for the 1.25 warrant that expires in 2018. Currently I believe the prices are .10 for the A and .21 for the C.

Purchasing them through Scottrade is simple, however you cannot do it online. You can however simply call them and purchase them quickly over the phone as you would any stock.

The price of the warrants has been gaining rapidly lately, even compared to the share price, but I did some math and they are still easily worth it if you believe in the company. Lets take your $1000 example.

If you purchase the stock, lets say at $1.00 a share to simplify things, you will have 1000 shares. Now lets be extremely conservative and you can see how well the warrants can treat you. If by June 2016 the share price is at just 5.00, which in my opinion is quite low, your 1000 shares will be worth $5000, if you sold them you would have a net profit of $4000a.

Now lets say you invested in the class A warrant at .10. Your $1000 investment would enable you to purchase 10000 of those at todays price. Under the same scenario, if by June 2016 the share price was just 5.00, your warrants would be worth $30000. (5.00 per share minus the 2.00 strike price. Your total profit would be $29000 when you subtract your $1000 investment.

Now if you want to plug in higher figures for the share price, the warrants value only increases exponentially from there. throw in a $20.00 pps figure and you are looking at $20000 worth of stock vs. $180000 worth of warrants.

The drawback: if the stock price by 2016 is just 2.00 or less then if you bought the warrants you are now out $1000 as they are now worthless. Where as if you had bought the stock it is still worth whatever the current share price is. For this reason I bought a little bit of the stock, a large number of class A warrants, and then a smaller amount of the class C that expire in 2018.