I admit it is far reaching. If it's wrong it should be easy to refute.
GNUS has at least $50 million, but they have to fund season 3 of Llama Llama and Rainbow Rangers, and their end of Stan Lee's Superhero Kindergarten, plus overhead. Gnus also has to fund (to some extent) 7 POW!/Stan Lee properties a year. Revenue has to increase or the cash reserves will go quick.
Right now, I think Andy is propping up the stock, with pr stunts, for a few reasons. First, Andy looks like a good guy to retail shareholders. Second, to give the qualified shareholders a chance to sell shares with a good profit. Third, a share price drop needs a trigger. Really bad Q2 (or Q3) results could be the trigger. Retail shareholders panic sell combined with dumping of any shares qualified shareholders have left. It looks natural.
For the sake of argument, let's say I am right, the share price drops to 20 cents. What happens to Arnold. Arnold gets warrants for 2,158,273 shares with a strike price of $1.39 (about $3 million), good for 9 years. Maybe GNUS will reprice them at a lower price. Or, Arnold could take his $3 million and purchase shares at market prices. At my hypothetical 20 cent, he could buy 15 million shares. A better outcome for Arnold, plus he still has his warrants.
Similarly, company management and board of directors could also buy shares low.
After a reverse split to get the share price back above $1. The company ends up in better shape. Money in the bank and shares in the treasury.
It could be nonsense. If retail shareholders never panic and continue trading shares above $1, through Q3, it falls apart. If, complete dilution is in the float, it falls apart. Or, there is proof dilution is already part of the float.
The first real test of my theory comes with Q2 results.
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