The article states that biol was misleading cash burn when in reality it gave correct numbers showing a burn of 1.7 last year and a projected burn of 3.5 to 4.5 million for this year. This puts them as cash flow positive at 1.5 million for the second half of the year, which we are well into. Now the SA article stated that the company burns 12 million annually. Well 1.7 last year and 3.5 to 4.5 this year is not 12 million so who is misleadining. Also, it is now that matters for cash flow and they are likely at a very low to positive cash flow now.
In addition the author mentions infomercials on cnbc fox and bloomberg are not proper for selling products and are only for boosting stock price. Where has he been, these networks are known for these types of infomercials off hours and are a great place to advertise. Many health related products are advertised here.
Most laughable is the authors belief that illegal naked shorting is not happening because its not showing up on legal nasdaq and sec reg sho lists. Of coursee not otherwise it would be legal naked shorting. Geesh
I think you need to check out the loses reports for 4Q12 and 2Q13. If one does one finds:
Line of credit debt......$6.0M.......$1.6M.... Increase debt $3.4M
Cash & equivalents...$2.1M.......$2.5M.....Decrease cash $0.4M
Total equity..................$8.2M......$11.8M...Decrease equity $3.6M
Can we all agree Biolase in the first half of FY2013 has been burning $600K/month?
Can we make the assumption this has continued in July and August?
Given Comerica won't let the debt increase, Biolase's cash is below $1M now.
Richard wasn't very clear that Fails to Deliver is only triggered when the naked short is left uncovered, or not borrowed by the settlement date. Not all naked shorting leads to an FTD, not all FTDs are from shorting. He speaks with a split tongue. His defense is like saying "See I couldn't have robbed the bank, because the supermarket is still open" An absense of FTD's is no proof whatsoever of his innocence, or that he didn't heavily naked short BIOL. The fact that he would argue in this way, with his level of understanding almost certainly screams "GUILTY AS CHARGED!"
Ever catch your children, or a subordinate doing something they know is wrong? Denial cover story justify it blame others down play it eventually accept wrong doing.
I gave him the benefit of the doubt that his first article missed the changes in the S-3 Form as an oversight, but now I'm convinced he's more like a bold faced lying #$%$. Every article has more twists and turns than a soap opera. I'm not sure if he's even capable of telling the truth. But he sure likes to imply that it's everyone else who is wrong. Speaking of...where's are local panel of bashers at today? Busy masking their IP addresses?
wrong again. and again. BIOL filed 2 S-3's for 30 million in offerings, before switching it to 5 million a day after the first amendment. If the Seeking alpha articles were wrong then why the need to reduce it? You still talk about shorts, but i suspect the next number release for the shorts will be way down as they tripled their money in the last 6 months.
I don't remember the article's numbers, but one can look at cash on hand and debt on from the 4Q12 and 2Q13 loses reports and you'll find the cash is down something like $3M to $4M between those periods and the increase in the debt of about the same.. Do a little homework and report the numbers accurately.
I am in! This has massive short squeeze all over it and any positive company news will cause this to skyrocket. An announcement on positive cash flow. Bank financing. Large product sale!! Remember, they did mention that many orders were delayed into this quarter so look for a surprise.
And especially look for an analyst response to the self-serving greed of Pearsons with a reiteration and analysis on their own. Notice that not one analyst has lowered guidance! Why? they do not believe the greed of one SA author. Remember it is just a blog. Just a blog and he is a very minor author. I could set up an SA account by the end of the day and have as many followers. It is a joke forum for stock manipulation. Pearsons is NOBODY. only a guy who got stuck with a DESPERATE short
Friend, your emotions are getting the best of you. Perhaps this is why you have lost so much money on BIOL. Short selling, dressed or naked, legal or illegal, what does it matter. You are not in a position to do anything about it. The current stock price reflects the value of the company. The trend is negative. Think about it awhile and maybe you'll see the light. The SEC will permit you to buy stock in companies that actually make money. Cheers.