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SevenTenEleven

10/25/11 9:03 AM

#22331 RE: rekcusdo #22328

1) At $10 per share many, if not all retail investors will be out at 5 to 10 times their investment.

2) At $10 per share, if the company decides to raise capital, they will likely be going to large investors and funds to issue restricted shares.

3) There is a very large unreported short position here, IMO. Those hedging against the Company will be buying into the ask at a significant loss once the Valuation is announced. They may in fact be the ones financing the company's capital requirements.

Buying DHSM below $2 will prove to be a very solid entry point, IMO.

Shorting at these levels, not so much!

Dilution post-split would make no sense without the valuation. The notice of the valuation happened at the same time as the split...therefore it would make no sense that any of the short investors would believe in a dilution prior to the valuation.

And, the answer to your question is...YES they will need to. There is no way they will raise the kind of capital that the company needs with a 100k float. Even if the stock is valued at 10 dollars per share, that is still only a million dollars worth of capital...chump change to most companies.
- rekcusdoo

Good Luck!