Replies to post #20784 on Optex Systems Holdings Inc. (OPXS)

[TheFinalCD]

hey mike


remember SAPX


lol

[fireopal]

https://ycharts.com/companies/OPXS/gross_profit

July 25, 2016

As per the company's PR, OPXS has secured a 5-year Indefinite Delivery, Indefinite Quantity contract worth $6 million with the Defense Logistics Agency – which is big news for the company. A glance at OPXS's latest financial report reveals why:

Cash and Cash Equivalents - $596 thousand
Current Assets - $9.5 million
Current Liabilities - $3.8 million
Quarterly Revenue - $3.2 million
Quarterly Net Loss - $310 thousand

While the company has been active and making quite a bit of revenue over the last quarters, it has yet to break even. By all accounts, it seems that this new influx of revenues might be exactly what is needed to take OPXS into profit land – which seems to be the reason for the investors' excitement.

So far, it all seems like sunshine and roses with OPXS. Unfortunately, this is the part when we have to take a look at the company's other side.

We are, naturally, talking about OPXS's past stock-related shenanigans.(which as you well know included ripping their investors off and not just once but twice since 2009 lol) Things had been clear on that front for more than three years, until October 2015. Back then, the company decided to perform a monstrous 1 for 1000 reverse split, which should have brought its shares outstanding to a bit under 200 thousand. Fast forward to two months after the split, and the number of shares outstanding had grown to approximately 430 thousand. Mid may 2016, the number of shares that OPXS had outstanding had reached a whooping 1.6 MILLION.

Once presented in this light, OPXS's current situation no longer seems that grand. With this in mind, it should be obvious why investors should be doubly careful when dealing with OPXS stock. https://www.hotstocked.com/article/93986/optex-systems-hldg-incorp-otcmkts-opxs-explodes.html