Replies to post #174311 on Potnetwork Holdings Inc. (fka POTN)

[Johnstonj27]

Zero margins??? please enlighten us how Potn produces zero margins?

GO POTN

[Striker7]

POTN has solid revenues and huge opportunities ahead. Financials look pretty decent - actually very good compared to many of its peers.

The issue is removing the noise from the numbers. The noise of the lawsuits against the 3 amigos have little to no bearing on POTN's sales. Diamond is a top brand with incredible value and no one could careless if the some investors worked their stock positions.

I've worked with MANY "penny stock" companies over decades through a multitude of markets, very familiar with how these companies work and the struggles they face. I like the opportunity that the "noise" has created in POTN. We called it Aces back 2 Back. Its when you have the most interest in seeing the game go forward.

The share count is the share count. It takes a lot of cash to grow a company in an emerging market. There are only 2 investments in the entire world -- debt and equity. Everything is one or the other or a variation of the 2...but its either a debt instrument or its equity. Unfortunately debt is not an option in the CBD sector. So you are left with "equity" and the hybrids. The ONLY thing a company has to create cash when you have no sales is you sell equity. 2-3 years go when CBD was a huge unknown...it was EXTREMELY tough to raise cash so you make deals with the devil. So you sell converts. Cant grow without cash - what else were these companies to do? Those deals are coming to roost now....but we would not have created $25 mill in revs without the cash. So 1 billion shares. Its still under 1x sales. Thats a CRAZY number ... when you know numbers.

I'd ask --- what would YOU have done to create the cash needed to launch and grow this company. The share count is not out of line with the sector. The noise presented by the law suits in my opinion is an opportunity.

3 decades working with "penny stock" companies. (alway wonder why that term is used as it if was a bad thing) I have never had one trading under 1x revenues, virtually no debt, 3 year growth rate off the charts and a defined sector in a secular bear market with identifiable temporary reasons for the extreme bearish posture of the stock. I like the risk reward here -- Aces back 2 Back.