No, however, I did some research on Andy before I became a WCUI investor, so I am familiar with his companies and developed products.
Sentiment: Strong Buy
It is mind blowing to me that investors haven't figured out how undervalued this company is. Wellness Center USA's most recent press release highlighted a very large initial order of their novel dermatologically targeted UV treatment device, Psoria-Shield. By my estimates, that initial order is ~$250,000 with individual units being placed strategically with key opinion leaders (KOLs) through out the Eastern portion of the country. According to the company, demand is very high so I would expect significant sales before year's end....conservatively 1 million.
Starting in Q1 of next year I believe they can EASILY double their growth quarter over quarter. This would equivocate to 30 million in annual sales next year (again this is a conservative number). As of June 25th of this year, the total number of outstanding shares was 58.5 million. That would be an EPS of $0.51. At a conservative P/E of 10 (being that they are in a heavy growth phase), this would equal $5.10 per share. The stock is currently trading at $0.10.
Mark my words. Watch the price performance of this company in the next few months. This is the find of the century.
Sentiment: Strong Buy
I am sure I'm not the only one here who finds your rantings amusing. Keep it coming Tru, I truly appreciate the energy you bring forth. Peace.
I am still long MAXD. They have two signed contracts, however these contracts most likely will not start perform until the end of 4th quarter. Based on my analysis of these contracts, I do believe that they alone will make the company cash flow positive once they start to realize the full potential of revenue. According to management, they are in end stage negotiations with a few big name companies. If they announce a big name contract, the stock will perform well in my opinion.
In regards to the litigation side, MAXD is in a phenomenal position in their German suits against GOOG and NFLX. MAXD has invested a lot of money in these suits and just recently paid the last of their legal and court fees. This is very significant, because the recent press release that announced this is a strong message to GOOG and NFLX that the court dates of December 8th (GOOG trial) and December 18th (NFLX trial) are now set in stone and MAXD is serious despite their weak balance sheet. GOOG and NFLX now know that MAXD didn't fail and that they will be facing a permanent injunction in Germany. Based upon the strength of the case and the fact that GOOG (currently) has not presented any form of prior art. Without prior art they do not have any chance of winning the case. The other interesting fact is that due to the short duration of time between the two trials, NFLX will not have the benefit of waiting for the judgement of the GOOG case, because it will take the judge at least two weeks to render a decision. I predict, based on the strength of the cases, that both GOOG and NFLX will come to table with a settlement (license) offer. I believe NFLX will take a license for Germany and GOOG may take a license for both Germany and U.S. If this is the case, the MAXD price performance should be spectacular.
Currently, due to the lack of revenue, the convertible debt has diluted the company and keeps a strong downward pressure on the stock price. This will become a mute point if any of the following happen: 1) renegotiation of the debt which management is currently working on. 2). MAXD lands a big name contract 3). GOOG or NFLX settles 4). the Luna and Santok contracts start to perform.
As a side note: if GOOG settles and takes a license, the financial implications are huge for the folloeing reason. The android operating system is named in the suit as an infringing technology. If GOOG settles, this means that every cellular phone manufacturer that utilizes the android operating system will be proven to be infringing, so all of these companies will need to take a license. The day GOOG settles, Samsung, Motorola, LG, ZTE, etc will be receiving a legal letter from MAXD demanding a license.
There is tremendous potential here. They should be some very interesting times fro the company
We are closer. Management is presenting to large investment groups. I have spoken with a friend who brought an investment group to the table and he feels pretty confident they will take out at least a portion of the debt.