Lets say that Venaxis sweetens the deal where they say the test costs 80.00, however they did not mention that say 20.00 of that 80.00 goes to the hospitals bottom line and 30.00 of that 80.00 covers Venaxis's total expenses, costs per unit, your looking @ 30.00 per unit profit after expenses.
Yes people!!!! There is ALOT of things managment is not saying and probably for good reason. At 30.00 profit, per test, they would only need to perform less than 1 million tests to justify a PPS of over 6.00 WITHOUT a multiple involved.
Its the multiple that will Kill you, because considering what Im proposing is totally achievable, Their numbers WOULD justify an offering of 30-50 pps along with the fact they are carrying NO DEBT if they take the profit from the first round of 1 million and pay off the debt.
With a small pool of shares available, profit margin of 25-30% after expenses, no debt, and FDA approval still waiting in the wings, essentially doubling the market they will serve, this stock will rise beyond anyones expectations.
Now I hear people saying "Oh, theres bad news coming . Management isnt telling us something / Oh, check their previous info on the kits success / and other BS" the fact of the matter if they now have a successful test that is in production, that is now being sold and is already being introduced into the pipe lines of the medical industry.
Once it gains momentum (see above where I mention they / hospitals make $$$ every test), The mere mention of stomach pain will ring the register because the test will ecome status quo vs. CAT scan. Its as simple as a blood test. 1000's per day.
Im offering only 1 possible scenario / ending to the story. Like some of you, Im holdding to see how this ends. As a small time investor, an investment like this can litterally be like winning the lottery.
As many of you know though, what managment does and how the story ends is up to the players following through.
Oh yea, another thing to consider. As a doctor or researcher, the accomplishmnet of having a successful test in the market place and having your work show cased in say the American Medical journal is worth more than any money they may try and steal from the company as some of you suggest.
As a reasearcher / doctor with published work in Medial journals results in HUGE speaking fees and opens up more opportunites to bring more product to the market place by having a good track record venture capitalists can go on.
This test means ALOT more to managment than you would think. This test is not only a revuen maker and a good pay day for managment, but the successful launch and acceptance of Vanaxis will mean more incredible opportunities are within their reach. They may even have other tests and drugs in RD that they want to do, but are not saying anything.
You could be looking at the next big company in Pharma. You just need to look past the now and see the big picture for what It could be.
Like most of you though, I know nothing and can only offer a viable scenario to what MIGHT be instore for us. What I can say is what I have proposed in several posts already is totally doable and DOES make sense.
all those who have been broken on the market has been injected in advance with optimism. What is going to happen with your investment when they start diluting again in the near future ? they have some cash for few months, then...what will happen?? FDA approved will not come before 2013. until then APPY cash will disappear...and then another dilution. .
That is the reason APPY continue to trade at 2 usd price range !!! You think that the Market makers are very duump...think again...the market is always right...
of course the market is Always Right... it's the sole purpose of the market to be exactly what it is making it always right. It's the dumbest saying on wall street. sorry nysetrader but you got to admit it's a misleading statement.