Replies to post #193846 on Winning Brands Corporation (WNBD)

[doogdilinger]

LMAO @ the following quote as well Serenity>>>

Even after a post-split dip, the shares can recover and advance beyond where they were at the time of the split.

Let's say WNBD does a 1000 to 1 reverse split @ the current .0002 share price for example...then the following 2 main post reverse split ingredients would then be in play>>>

1. The initial post R/S share price would start at .20 cents per share

2. The initial post R/S float would be reduced from 4.5B shares to 4.5M

So in order for WNBD's current crop of shareholders to recover and advance beyond where they were at the time of the split...the shareholders who chose to hold through the R/S would have to factor in their current cost basis as it relates to the current .0002 share price! Meaning if as Eric suggests above...WNBD has a typical post-split dip from the .20 cent starting price...even if the post-split share price did recover and advance beyond where they were at the time of the split...the .20 cent initial post-split starting price would be the current .0002 threshold price...and 99% of WNBD's 1st crop of shareholders ALL have dollar cost averages well above .0002!!!

For example...if a current WNBD shareholder has a current dollar cost average of .002, then the post-split share price would have to climb to a whopping $2 per share just for them to get back to their current dollar cost average(based on a 1000/1 R/S)...and climb all the way to a whopping $200.00 post-split share price just for any of the .02 cent buyers whom the CEO congratulated approx 3 years ago for buying at .02 cents lol.

So once again the CEO is using the blog to attempt to paint a pretty optimistic post-split picture...by hoping to make the remaining 1st crop of shareholders focus on the initial post-split share price instead of their own personal current dollar cost basis!

And the bottom line for anyone who chooses to hold through the probable pending R/S here...is that over 99% of the time any pos-land company that reverse splits does not recover from their post-split dips because the co's are once again diluting...only this time they're diluting into the 2nd crop of shareholders after already crucifying the remaining 1st crop of shareholders.

Even if WNBD only initiates a 100 to 1 R/S and ends up with a post-split float of 45M shares...the post-split initial starting share price of .02 cents would be diluted into through new financing...meaning it would be next to impossible to hold the current .0002 share price in the post-split era which is already a much lower number than most 1st crop of remaining WNBD shareholders currently has as their dollar cost basis here!

That is the reality of how pos-land Reverse Splits operate...and it has absolutely nothing to do with pro or con WNBD observers...or attempting to spin a R/S as a potential good thing for the remaining 1st crop of shareholders!