Your right, it doesnt appear logical. But the fact remains that a purchase manager will prefer to buy from a company with a 4 dollar stock price than a .07 cent stock.
These machines can be intensive to maintain/ upgrade, in addition there is a constant need for new training scenarios (especially for retail purchasers). A company needs assurance that they will recieve tech support in 3 years. Now Virtra prides itself on customer support but as a purchasing manager, If I see a 7 cent stock Im thinking these guys are tanking and my 3 year warranty is not worth the paper its printed on.
Our competitors have respectable stock prices, Management feels the need that we should have that as well, and I support that decision.
As far as a 4 dollar stock price after the R/S? If you see that number, buy this stock (unless the Gander Mountain deal falls through).
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