Replies to post #12594 on Electronic Game Card, Inc (fka EGMIQ)

[pontiacnut1999]

Read your post/blog on yahoo board but link not working here. I too added at .879 day before halt. Posted some ideas here yesterday about possible scenarios and got told indirectly that my connect-the-dots were BS. Also posted that I thought KD's absence was due to "recovering in the hottub". Appreciate your TGGN advice. I'm a retired old guy who trades for fun, but feel like here that I got beatup.

Good trading to you, Sir.

[wmthecommoner]

My take on all this is pretty simple. I surely have learned to be more cue conscience in the future. But as many of you have I am sure, looked back -as I look back I do not think I would have done much different as I relied on what I thought was a terrific balance sheet, high margins, growth in sales with a product that had room to expand with IP giving them a competitive edge in addition in essence the first with a marketable product in this category.

Now the management aspect has turned the above from Cowboy to Cowsh*t in about 120 days. Ironically, as I did more and more DD on this during this time, I thought this part of the equation was always just inches away from being solved. IF I HAD NOT done the DD, I would have been less comfortable and likely to have sold when the charts went to hell. The SEC halt, CAUGHT everyone off guard.

The business model I believe is still intact and this stock can rise from the ashes. So while if you bought at $1.70 this is a POS, but if you bought recently, those holders think this is the greatest stock opportunity in the world for making money. IT is all a matter of perspective. less than six months ago the concensus was this was a $5 stock by the end of 2010 and $3 by year end 2009.

This weakness and the mess that ensued I believe when resolved will put EGMI Back on track, but the burden of this, will take sometime to regain stockholder confidence, (OR more likely just new stockholders not burned by this and lower basis) and I think $3 by year end 2010 is possible if EGMI gets back to running the business and a few good contracts get landed, booked and start showing up in EPS, like USA Lotteries, Chinalot, or any of the irons in the fire that we used to talk about like a fast food restaurant card, BK or McD, then you have MLB, American Idol, etc etc. You do not have to get them all, but bring in 2009 at 14 c EPS and 20 c EPS pretax for 2010 THEN have 2011 lined up for 30 c, you get the picture.

IN SUM, in retrospect, I probably would not do anything different, but in the future, have lowered my PPS Targets and maybe trade this on the way up. Hope this helps others in figuring out where we were and where we might be going. ALL this is predicated on the CPAs recertifying the statements as a start. Until that is done, we stay on the greys.