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emptyone

08/28/13 8:58 AM

#43484 RE: viking86 #43479

vike you should be the CFO, how many times have I said stop the dilution and buy back shares, what better investment is there than the company's own stock itself, so if you can't borrow at a rate under 200% which I don't believe, slow down the cap ex, use the excess cash flow in the second half of the year to buy back stock but by all means stop the dilution and if you are listening Solomon, I implore you not to raise the authorized shares, that would be a killer.
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nefariouswu

08/28/13 10:49 AM

#43509 RE: viking86 #43479

Viking let's look at the other side of the coin.

Would a legitimate company ever do this? EVER?

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Traderfan

08/28/13 11:59 AM

#43529 RE: viking86 #43479

So instead of selling shares at 200% APR to buy them back within a year or two (which the market disagrees with obviously), what i am suggesting is the reverse approach: take a loan at 25% APR enough to cover the marginal funding needs and buy shares back at this extremely undervalued level, and sell the shares later for a gain to pay back the loan. If the market sees these 2 things: 1) dilution has stopped, and 2) share buy back implying financial strength and legitimacy, the pps will reverse course very quickly and shareholders are happy


Yep, no doubt about that.