The the share price drops after each PR released....crazy.
Thanks, I must have missed that PR. But that still has me scratching my head as to why 4th quarter sales was so poor. Any thoughts?
lol...they've been talking about commercials for the past year. Do you know how much a Super Bowl commercials cost, where is the money coming from? FUSE has $29,430 cash on hand, not even close to enough cash for a Super Bowl commercial since a 30 second commercial costs $4 million.
I have a small amount of my speculation money invested in DROP. My position was a hold pending the Annual Financial report. Since the third quarter sales increase significantly I was hoping 4th quarter sales would come in around 700k which was my trigger to add to my position. However, my outlook changed after the R/S was announced and I decided to not increase my position regardless of 4th quarter sales. That is why I didn't put too much effort into reading the Annual Financial report in detail until yesterday and I very surprised at the poor 4th quarter sales.
I understand the big picture very well. Not be able to cover operating costs is typical for start-up companies and normally not a problem provided sales are increasing and profit margin is positive. Sales and operating costs go hand in hand with each other. Increased sales allow them to cover more and more of their operating costs. Negative sales growth is the real problem!
My strong sell recommendation is based on declining sales, cash flow issues, R/S and other negatives that I feel spell the end of Fuse. I'm just sharing my opinion on Fuse and welcome others to share their opinion, both pros and cons.
Until Macular Health revenue starting coming in, if ever, DROP sales is the only source of revenue the company has so I'm not sure what you mean by "The play is on something happening and it is not on sales results!" Instead of your vague statement maybe you can share what this big play is.
Sentiment: Strong Sell
I recommend checking the numbers again. Sales numbers for the first 9 months was $419,724 vs.$486,763 for 12 months reported on the annual report.
The SEC filings are available on the FUSE website, please verify my numbers for yourself if you doubt my post.
I haven’t really put a lot of DD into DROP lately. However, today I got around to looking at the Annual report, specifically Net Sales for the year ($486,763) and it really got my attention. Looking at the 3rd quarter report the total sales for the first 9 months was $419,724 which means sales for the 4th quarter came in at $67,039 compared to $322,390 net sales for the 3rd quarter. That puts net sales down by almost 80% from the previous quarter.
Please correct me if I wrong, but the numbers don’t lie and I highly encourage not adding to your position. In fact, I recommend getting out at the first opportunity. The arguement that it cannot go much lower is incorrect, it can always go to zero.
Sentiment: Strong Sell
Not much lower pre R/S but it will definitely go lower after the R/S. Recommend not adding to your position until after the R/S which will happen or they will go B/K.
My thoughts are the R/S will occur at a PPS of around .015 to .02 which would put the post R/S share price between 3-4 dollars. FUSE will do an immediate offering diluting the shares to raise much needed capitial which will drive the price down to sub $1 again within a couple of months after the R/S.
Hey Shortie, I guess you didn't sleep very well last night.
Some people are just too greedy that it blinds them from the truth. You had plenty of time shorting V and ample time to cover. Time to give back any gains made shorting V this past year.
Your new lawyer theory is strictly speculative that no amount of DD can confirm without insider information.
I forgot to add my timeline.
The R/S and increased outstanding shares authorized to be completed March with 2 million shares diluted in April which will drive the PPS to $1.25 in May which is my new entry point pending sales numbers for first quarter.
The reason DROP is doing a R/A and increasing authorized outstanding shares is so they can continue to dilute the stock at better share prices in order to raise money to fund operations. This is their only way to raise enough money to grow the company. Without raising significant money they will definitely go bankrupt. Think about it, if DROP wanted to raise 5 million dollars to fund operations for the next year they would have to sell 250 to 300 million shares (based on the a PPS of .02 cents, minus transaction fees). After the R/S, and assuming a PPS of $4 (R/S ratio 200 x .02 cents, minus transaction fees), they will only need to sell 1.25 to 1.5 million shares to raise the same money and still have less than 4 million shares outstanding.
As a retail investor I don't like the R/S either. But, you need to take your investor hat off and think about it from the business standpoint. A year from now most of today's DROP retail investors will have moved on and the R/S will be a non-factor to the new crop of DROP investors.