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holter

10/23/14 12:03 PM

#33113 RE: Alibi95 #33109

My idea!! Read all of the post.

A share buy back could not get us to the higher exchange. I agree with that. Any share buy back should be exercised with the intent of the stock going higher from where it is bought back at. This can only be accomplished if the company is performing on all cylinders and growing revenue and profit. So why couldn't the company do several reverse splits as they are growing. Do a little at a time, not all at once. That way the shareholder could benefit from company growth causing the stock price to be going upward instead of downward after the mini multi reverse splits.

A difference in this penny stock compared to many others that experience a reverse split could be that the company is actually growing by leaps and bounds as it enacts a reverse split keeping the price of the stock on the rise instead of common fall after a reverse split so many other companies experience going through the process.

I think a stock buyback coupled with multiple mini reverse splits could play out in our favor and keep the share holders from dumping their shares wholesale. If the plan I lay out was to work, the share holders would realize stock dividends in the future as the company progressed to a higher exchange and profitability.

That is my take on the issue. Any comments?

DFW

10/23/14 1:52 PM

#33116 RE: Alibi95 #33109

Alibi, first of all it takes 3 years of positive revenues and clean reporting to make it to NASDQ...

A lot of restructure can take place in a 3 year time period...

I know how it can work and I have posted here before what should be done....will I post it again no...does it Have a R/S to do it...NO..

Using your numbers

Take what we know, $700m over 5 years, assuming 33% profit, annual net income of 46,200,000, With a PE of 17 (industry average of after market auto parts), that would make SVMI a $785,400,000 company, at $2 a share (minimum under special circumstances), they would need to have no more than 392,700,000 shares outstanding. Simple rounding, they need to buy back 5.6b shares for that to happen.



however getting to the 2 dollar share price would require a 25 to 1 split if fully diluted except that only works in theory because just like when Citibank did there R/S it took 3 1/2 years to get the shareholders back to where they were before...

A R/S is a chickenshit's/con-mans way out of a created situation...

It is the fear of a R/S that allows many to sell blocks of a million or more in one trade...

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