The downdraft effect is of no concern to me.
Average Joe makes a big deal out of it and thus will immediately sell if a reverse split is announced. However, when it makes sense, and you do have a strong business it ultimately ends out well - sometimes very quickly.
One microcap company I currently own did a 1 for 10 reverse split back in August/Septamber timeframe. The stock is more than double today and has been as high as triple the pre-reverse split price.
My best example of how this does work out well is with Titanium Metals - they did a 1 for 20 reverse split because their business had soured. However, after that things turned around and they had multiple forward splits that left the shares at an all-time high when they were then bought out by Precision Castparts (PCP) earlier this year.
You are correct.
I have owned shares of other companies that have opted to voluntarily delist and move to one of the OTC exchanges. With the enormous costs and requirements that Sarbanes-Oxley compliance places on small companies, for many, it is simply no longer worth it to have to deal with it.
Most all continue to provide audited results, however, the costs and time for management to devote to it is drastically reduced.
As you also rightly point out, in the future, if/when things get better, they can always relist on NASDAQ.
Martin Williams has lots of money to throw around. He plays big and he loses big. He likes tech companies that are down on their luck. Sometimes he wins, but if you check, the bulk of the big bets he's made have gone down.
Tell me why officers aren't buying lots of shares? Tell me why the number of shares owned by officers is negligible?
Martin Williams is a large shareholder, nothing more. His information is no better than what any other shareholder can find.
You show me the CEO or CFO pulling money out of their pockets to purchase 5,000 or 10,000 shares and then I'll start to be interested. Stehlin buying 1000 shares doesn't do it for me.
"Notice shares went from 7,887 to 7,568. MRV mgnt, hedge funds and Insiders are buying up cheap shares from the little boy."
You are reaching the wrong conclusion by the reduction in shares.
You are quoting a reduction in the outstanding shares of common stock - that has absolutely nothing to do with who is buying shares. Outstanding shares are reduced when there is a company buyback of shares and they are retired. If we are discussing "diluted" outstanding shares, then the number will go down as non-exercised options expire.
The San Onofre reactors – situated along the Pacific Coast in the densely populated corridor of millions of people between San Diego and Los Angeles – are the largest to shut down permanently in the U.S. in the past 50 years, federal officials said.
Insiders have started purchasing shares.
Business will rebound.
Company is making the right decisions/moves.
Ignore anyone who gets on the conference call and is from Brill Securities.
1. In the end it really doesn't matter. Look at metrodave making a big stink out of it, yet who does he think paid for the "research reports" put out by the two companies "covering" PLSB?
I agree with you, I don't believe that Jones paid for it. The "client" could be anyone who bought up a chunk of JSDA shares and believes the fee the MBA grad student from Stone Capital charges is a small price he can add to his cost basis to get the word out. Whether it is fluff or not really doesn't make a difference - it is positive media.
Even if Jones did pay for the MBA grad student to write the article - who really cares? Are there any lies or misleading statements in it? From what I read it is merely restating what JC has been saying for the past 9 months. It is pretty much accepted that for small cap and micro cap companies that do not have any coverage (because who wants to cover a company so small when there's no chance of getting business from them?) paying for this type of research is not uncommon. I can show you another company I'm invested in that has a current market cap of $90 million with $50 million in sales that pays a more well-known firm to provide on-going research coverage - their fee is $1750/month and it's good/clean/solid research.
2. I agree. Now that the shares have based at around 55 cents, the chances of seeing it fall below 50 cents are slim right now. It could happen if there is a flash crash or something. But, more than likely, should the shares fall close to 50 cents again, we'd see the big buying pick up again.
I disagree with trading the technicals because it is still a penny stock and can be volatile. You can very easily sell your shares because of games the market makers may play. Remember the guy who popped in here the first time the shares went above 40 cents and he was advising everyone to sell a chunk and then buy on the pullbacks? In his words, it was the only prudent thing to do. He hasn't been seen since.
I can't wait
by eluminatlng69 • Jun 7, 2013 6:52 PM
For WIN to file for BK. Then it will finally be over.
Something around here stinks
by eluminatlng69 • Jun 7, 2013 11:07 AM Flag
Oh wait, It's just WIN.
WIN trailing the general markets yet again
by mpcs2007 •Jun 7, 2013 10:50 AM
eluminatlng69 • Jun 7, 2013 10:55 AM Flag
What else would you expect? WIN is garbage.
AFFY is liquidating and tying up loose ends. There is nothing to be distributed to shareholders. In 6 months you'll see the shares changing hands below 25 cents/share with the bagholders like yourself trying to keep the dream alive. 12 months from now, the shares will be trading OTC BB for under 5 cents. 18 months from now they'll still be trading for fractions of a cent.
You can choose when you'd like to sell, or just watch it vaporize over time.
You're pretty stupid if you're pushing WIN. Not quite as stupid as nutty pushing AFFY, but close.
Every talking head has been pushing WIN for the past few years - always harping on the wonderful dividend. Every time it makes a move down, the talking heads and folks like yourself come out of the woodwork trying to find bigger fools to buy in. Fact is it's a pile of junk. If you've held the stock for any length of time, your paper loss outweighs the dividends you've collected and every day that passes there is a higher probability of the dividend being eliminated. The company has more debt than annual revenues, profit that doesn't cover the dividend, it has a negative tangible book value - the turd is technically insolvent today.
You think Jones is going out of business? Jones has no debt while WIN has debt of over $9 BILLION. Jones has a tangible book value of just over $4 million today, WIN has a tangible book value of NEGATIVE $5.5 BILLION.
Go preach over on the PLSB board - the folks there just may be stupid enough to take your advice.
Become a shareholder, and then suggest it to the compensation committee. They may agree with you.
You can easily scan the SEC filings for insider purchases and there have been a few transactions over the past 9 months.
When an insider (officer/director, 5%+ owner) buys or sells they are required to make a Form 4 filing with the SEC within 2 business days of the transaction. Those filings are immediately available on the SEC's website.
Read it yourself:
"...and the focus of the turnaround plan is to solidify & grow the core Jones Soda brand variants, NOT FOCUSING ON GROWTH AT ANY COST, which previous management seemed to put above all else."
Experience says that the SEC likely has a program on their end that does an auto-delete once they receive the submission.
Ok, I'm exaggerating, but I don't think they act on many of these nor do they even read all of them. I think it's little more than an attempt to make the public believe that the SEC is doing its job and really does care about Main Street.
"I have several members of my family invested in Enzon . Do we ALL need to file a complaint??"
You can, but it likely won't make any difference. It may help if you do provide full name/address/phone info and indicate that it's ok for them to contact you.
Again, don't expect much/anything to come of it.
I sold mine last week. OMONTYS is essentially dead - check what AFFY has turned into - check out their message board if you need some good entertainment.
My personal belief is the cashflow that shareholders can expect going forward is going to be less than what everyone is anticipating. I think current shareholders are being optimistic and thinking of the best case (or even what an educated person would believe is a realistic) scenario as opposed to worst case. I've chosen to lean towards the worst case and I don't think $1.60 is going to be seeing its way to shareholder pockets. That's just me and at this time I'm not willing to keep any funds at risk tied up with this company. I think that given the history of how this has played out over the past few months, the probabilities say that the royalties are going to be lower, costs of administration and whatever the company chooses to keep funding are going to be higher.
Now, I may very well be wrong. I have seen this type of play turn out well with OPTI - if you are a long-time PC person, you know of OPTI from long ago having done lots of early work on the PC BIOS and other PC-related things. They've basically closed shop, simply collect royalties and forward to shareholders - and this has gone on for years now. The stock trades at 50 cents (52 week high/low = $1.63/$0.37) but if you go to the price history and show dividends only, you see that over the past 10 years they've paid out about $5/share. I believe that they are now really in a final liquidation phase.
So, it can work out - but you have to put your faith in the shell doing right by shareholders and that the royalties continue to flow. I would not even consider the possibility of a company coming along and buying what's left, or any IP, or anything. If it happens then wonderful, it's an unexpected surprise. However, if you're being truthful with yourself, you should only consider the royalty payments you'll realistically get.
Strange close as well - something weird happened - maybe a bad quote or something. No way it closed at $1.26 - it was in the $1.30's seconds before the close. Nasdaq site shows a final price/trade of $1.32.
Putting the pieces together it goes something like this:
1. RCM was employed by LRAD
2. RCM got canned for whatever fallout he had with the company.
3. RCM has made it his mission in life (since he's now likely unemployed or has a minimum wage job which affords him the ability to spend his days posting - e.g. night janitor) to post continually everything negative he can about the company, attacking any posters who might have something positive to say.
4. RCM maintains contact with folks still employed at the company, and any tidbit that they text each other about which RCM can spin in a negative way he runs here and posts..."Look, look, look what I know...".
5. RCM is looking for a payoff (which he feels he is entitled to) for his prior services to the company and to shut him up, and will continue to hang out here posting the "inside" information and attacking others until he gets the ransom/bribe.
It may not be 100% correct, but most of it is along those lines.
DOH! WTH are you doing? Grandpa will label you a pumper!
It's about time that we see some good analysis and reporting like that - many of us have done so and come to similar conclusions.
The fact that the guy's business is uncovering scams/shams and companies that are going to bite the dust, and he went in thinking that Jones was just another one makes the article all the more important.
Nutty will reply that he knows better than the writer and everyone else, if he has the audacity to post here after his AFFY gift.
Every person here should take the time to read it and understand it. Many have been saying the same for months - now the confirmation of it is published.
There is a "long-term" outlook here, and it is good.