Muscle Pharm Corp. Message Board

  • pross99@sbcglobal.net pross99 Oct 4, 2012 6:29 PM Flag

    Hey Coach

    Reached YTD low despite the recent good news regarding the BB awards. Any thoughts? Your insight and commentary has always been appreciated.

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    • Hi Pross99,
      I wish I had the answers about the stock price. I’m at a loss for words about it. It’s not a YTD low, it’s at an all time low. I have several theories about it, but chances are you’d get a better answer from a message in a Chinese fortune cookie about the stock price than from me.

      What I will say with conviction is that I invested in the development and potential of the MP brand, and that has certainly occurred. The MP product line is a formidable competitor to other major brands, and continues to grab market share. For an upcoming company it’s very impressive. Sales, nationally and internationally are growing exponentially, new products are being developed, and those are achieving consumer acceptance as well. I expect, or hope, 3Q sales will exceed expectations, management reigns in expenses, acquire better and more effective financing, and eventual profitability is in sight.

      Consider the current market cap below 8m. It makes no sense to me regardless of the losses on prior balance sheets, that a company with an estimated sales of 70m or so (and I think it will be considerably higher), has a stock price at a half penny.

      With the brand recognition this company has achieved, the value of this company is unquestionably, and grossly, undervalued. How this equates to shareholders equity and what the company implements to enhance shareholder equity is the major concern.

      Are we road kill in the path to their success? Or part of a tremendous success story. I have no idea. I hope the latter! Just my opinion, I hope we all do well.

    • If you are unfortunately holding shares, dump them while you still can...............

      From the prospectus released on the 26th of September:

      OUR INDEPENDENT AUDITORS HAVE EXPRESSED SUBSTANTIAL DOUBT ABOUT OUR ABILITY TO CONTINUE AS A GOING
      CONCERN, WHICH MAY HINDER OUR ABILITY TO OBTAIN FUTURE FINANCING.

      As reflected in the accompanying unaudited interim consolidated financial statements, the Company had a net loss of $9,853,389 for the six
      months ended June 30, 2012, and a working capital deficit and stockholders’ deficit of $12,668,017 and $11,013,113 respectively, at June 30,
      2012. Also reflected in the accompanying financial statements, the Company had a net loss of $23,280,950 and net cash used in operations of
      $5,801,761 for the year ended December 31, 2011, and a working capital deficit and stockholders’ deficit of $13,693,267 and $12,971,212,
      respectively, at December 31, 2011. These factors raise substantial doubt about the Company's ability to continue as a going concern.
      The ability of the Company to continue its operations is dependent on management’s plans, which include the raising of capital through debt
      and/or equity markets with some additional funding from other traditional financing sources, including term notes, until such time that funds
      provided by operations are sufficient to fund working capital requirements. The Company may need to incur liabilities with certain related parties
      to sustain the Company’s existence.
      The Company will require additional funding to finance the growth of its current and expected future operations as well as to achieve its strategic
      objectives. The Company believes its current available cash along with anticipated revenues may be insufficient to meet its cash needs for the
      near future. There can be no assurance that financing will be available in amounts or terms acceptable to the Company, if at all.

      Sentiment: Strong Sell

 
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