Friday it took over 442,000 shares of trading support & it still lost a penny. Major selling started to take place. This company requires a money infusion to pay its bills & likely uses their stock for payment which dilutes shareholders.. Its doesn't have operational earnings to date & yet the insiders here on this board still pump this loser company. This company will most likely be in the penny range shortly.
The insiders, who are not nearly as wealthy as this board seems to believe they are, have hypothecated most of their shares. If the price falls below a certain level their loans will be called by the lending institution, likely Goldman or similar bank, and they could be in big trouble. This could also happen if earnings do not materialize by some point in time. Since the money they borrowed probably went into other investments things will get very ugly. At some point this scheme will succumb to market pressures and they will have to make a decision. Protect CDXC or protect their income producing assets. I doubt that it will take them more than a nano second to make this decision. If they try to sell the company for more than the good will value to another company they control the other shareholders and directors will vote it down or sue them for fraud. In the meantime they must cough up millions to keep the company pps from cratering. You can see this happening on many trading days. It is pretty clear when the stock begins to fall and someone chases it until the end of the day, where it closes a few cents up or down.
Only in the short term, and only by skirting SEC rules. In the longer term, if the company does not make up for earlier losses and become consistently profitable, something that seems extremely remote with this company, the so-called billionaires must dump increasing amounts of good money after bad. They did not become billionaires by doing this, nor will they continue it indefinitely. They were probably sold a bill of goods by management, who seem unable to locate their rectums without help, and believed that the company had good potential. They have learned no doubt by now that this was either a lie or incompetence. The fact that they have not invested in capable management since the last CEO threatened to sue the company and then quit tells you how much faith they have in the company's future.
Frank....i guess the big boys are holding up the stock today too?
I heard that we need load up on CDXC today. I am not adding to my position today but wonder if something is coming up? one could only dream that pure energy get's hooked up with an energy drink company