Yes, I think we are about to make some strong returns on our investments, friend. We can talk about both, I think. Have a good weekend.
Steve, Thanks. I can get under the short's skin with the best of them. They chased me over to RCKY today, playing with their little thumbs. Can you believe that? The IFON shorts are losing it, IMO.
You are a hoot. Insiders are incapable of running a company (= dumb) but smart enought to recognize this and sell their stock, knowing they can't keep growing anything. Quite the oxymoron. Can't you just hear them at the boardroom table...."It's like that westnash fellow says, we can't do anything right so we better sell our stock on this anomalous spat of good luck before we run this joint into the ground again."
West, you might work along side those insiders very well, you know.
And you clearly passed on a third opportunity given today to buy shares at 18.50 or lower. Based on the timing of your post, I'm guessing that's about where the share price was when you wrote. Instead of writing, you could have been acting on an opportunity, IMO.
One more item in the chronology...
-shorts show visible evidence of greater and greater desperation by resorting to message board's child's play in the absence of an ability to counter the long case for IFON
-ifo (becomes ifon) builds distribution business to almost 300M in annual revenue under J. Ram
-stock price runs from $2 to $34 (pre-split)
-Argentine tariff of 30% kills distribution business; revenue collapses into single digit millions
-cash from good times managed well, leaving very healthy balance sheet...very liquid
-when distribution business ends, Ram immediately transitions focus to verykool phone business
-cash is meticulously used to build new business.....low burn rate with minimal operating losses
-verykool achieves breakeven and profitability without losing balance sheet flexibility....amazing feat
-credit line is attained
-business transitions to more high-end smartphones
-credit line is doubled
-growth accelerates again
-more direct sales leads to shorter cash cycle
-shelf is announced
-credit terms are relaxed
What's next?? If you are not on the long side of IFON, you are kicking against a spiked wall with your bare feet, IMO.
going to look real dumb or real smart......I added a few for trading starting in the lower 20s.....got more aggressive in the 19s and then added 5k altogether in the middish 18s. I just think the selling pressure is going to release and give us a very good turnaround soon. RCKY is a very solid company and I don't see a much better opportunity in this market at this time. I'm not going to post again for a spell on RCKY and see what's next. Best wishes to you and longs here.
RCKY has been great for holding a core and trading. Volatility gives opportunity. This thing will go up for 6 or 7 days in a row and then go south for a string of days. This pattern allows for good trades. I've found over the years that stocks rarely fail to ricochet after 7 days of going in one direction, absent significant additional news. FWIW.
That said, we are probably purging the last of the willing sellers from the cost basis in the 14 area...who are now "scared" of seeing the last of profits evaporate. A new host of owners are in their place IMO, enabling us to have consolidated the big move from the 14s to the 23 level. IMO, we will soon be solidly advancing again and I look forward to us taking out the former high given that the PEG is significantly under the neutral 1.0 rating. Don't forget to trade some along the way.
Fab, I meant KINS....it does look intriguing. You mentioned a while back and I missed but am looking hard at it now. Thanks. BTW, even as cheap as it is, I did just sell some SGMA shares I picked up in the 5s and 6s just a few months ago to see if I can make a trade (get them again some lower) since it will be into July before SGMA will report again. Thanks, pal.
If one is to trade RCKY, IMO, it is setting up for a good trade. Selling pressure has been pretty relentless since May 12. The only thing transpiring since then really has been a recall on some boots intended to protect against snake bites and an increase to the dividend....one bad....one good.
I said I would add no more trading shares but did pick up another 1k just now at approximately 18.60.
The book value is 18.40, majority is tangible; current ratio is over 7 to 1. The company is highly solvent with a great working capital position....great financial flexibility. The equity position makes RCKY a very deep value stock here in the 18s too. Complement that with recent eps growth and projected forward growth to the bottom line of 20% for the coming year....we have ourselves a very cheap stock price.
I'm just throwing the trading share idea out especially today. I've invested for years. Whenever I've seen a long string of up days or down days without any salient news....nothing changed fundamentally, the relentless selling or buying pressure, as the case may be, is virtually always followed by a good trade betting on the other side.
We'll see but this is my thinking.
P.S.....and you would have gotten more aggressive in adding trading shares in the lower to mid 18s as I did yesterday if you were "fully" as dumb as me. Alas, but you are smart, so you would find this a good time to be selling. In a few weeks you won't be posting again but quiet, just as you have each time RCKY has gone on a tear since it finally erupted from the doldrums of 14 bucks a share. IMO.
I'm not...LOL. I've made a mint on trading profits here already....but am not smart enough to sell out my core....no I"m not! If you were half as dumb as I am, you would but some while it's down here in the 19 area, IMO.
Prime, something along this line, IMO. I think this is set aside for some major growth opportunity that the company is working on. I'm looking at the size of the shelf relative to the existing market cap of the company. This suggest very significant opportunity and I think that's the probable meaning of the word "opportunistically" in today's PR. JMO.
final adds today....2K below 18.5; if it goes lower, I'll have to miss out. I admit to being surprised in the absence of news but hope I'm feeling pretty smart in a couple of weeks. The stock is now at book value with the divi just raised. The stock price is not aligning with the business direction, IMO.
I don't see it that way, Brian. I mean, it could lead to doing it in such a case. I believe that, as the PR states, IFON can expand its leverage for a spell to advance the business. However, IFON could easily be looking to partner with someone in the future where it's going to take a lot of money to take advantage of such an opportunity. The PR today also indicates, when reading the numbers and limitations, that IFON is setting aside the largest shelf size it can establish within its granted authority to issue within a 12 month period (perhaps all at once). This tells me that something big is looming in IFON's future and they are getting ready.
I'm delighted you agree and I'm sure YOUR ownership will be diluted. BTW, the real A4 is on my ignore list. While I can enjoy your satire after the ad nauseam and incessant "loading" posts of the one you are mocking, how many companies have you ever seen go from small to significantly larger size that didn't do any equity raises along the way?? Very, very few. If you know you are going to grow fast, it would be crazy not to have your options already in place. I suspect IFON will use leverage to the degree it can, but I vote for taking advantage of growth over running in place when it comes to that crossroads.
If you have analyzed the pace of growth for a year and a half, it is torrid. IFON ramped to the 10 to 12 M level, and appears to be ramping to the 15 to 20M level or more now, IMO. It takes money to make money. Your cash starts chasing your receivables until growth slows. This news today, IMO, suggests that Ram sees no slowing in sight. Having both debt and equity capital options to replenish cash as needed does build shareholder equity. Thus far, one has to give IFON and A+ for expanding to its current point while managing the balance sheet and cash almost flawlessly. That's important evidence as to how it will manage its financing options, IMO.