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Youngevity International, Inc. (YGYI)

Other OTC - Other OTC Delayed Price. Currency in USD
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0.11510.0000 (0.00%)
At close: 02:12PM EDT
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  • C
    Coin
    Last shareholder update was October ….
  • g
    greg
    The May div is late, even though the payment was announced last month.
    I've been trying to figure out this called Expect Market that is part of the OTC universe, and have heard from some voices the Ally can sometimes arrange a purchase. Anyone heard anything about this?
  • h
    hussam
    What happened 99.9 pct down?
  • J
    Justin
    People still own these shares ?? LOl What a bust. This CEO needs to resign ASAP ! It will be delisted soon.
  • C
    Coin
    Ugh…
  • C
    Coin
    With the conclusion of their lawsuit against Andre Vaughn , Youngevity has settled all their remaining lawsuits with regard to the Wakaya Perfection ordeal!!!!
    Hooray!
    Could this be the time that they release their long awaited financials?
  • T
    Ted
    Here's a summary of transactions to consider if you plan to hold YGYI shares:

    (1) Carl Grover lends $5 million to YGYI & CLR Coffee Roasters on December 13, 2018; YGYI agrees to repay Mr. Grover on December 12, 2020. See footnote #1 below from YGYI SEC filings.
    (2) CLR Roasters lends $5 million to H&H Export in December 2018; H&H Export agrees to repay CLR no later than November 30, 2020. See footnote #2 below from YGYI SEC filings.
    (3) On October 13, 2020, YGYI discloses that it must write down the value of its loan to H&H Export to $0. In other words, H&H Export will not pay CLR Roasters (YGYI) anything on November 30, 2020 and YGYI must recognize $5.3 million of losses on its income statement. See footnote #3 below from YGYI SEC filings.
    (4) On December 12, 2020, YGYI owes Mr. Grover $5 mm principal + $800k interest. See footnote #4 below with simple interest calculation.
    (5) YGYI has no cash to repay Mr. Grover and fails to find someone as insane as Mr. Grover to refinance his maturing note which is backed by green coffee in Nicaragua that's already written down to $0. What do you think happens next? See footnote #5 below.

    FOOTNOTES:
    (1) On December 13, 2018, CLR, entered into a Credit Agreement with Carl Grover (the “Credit Agreement”) pursuant to which CLR borrowed $5,000,000 from Mr. Grover and in exchange issued to him a $5,000,000 credit note (“Credit Note”) secured by its green coffee inventory under a Security Agreement, dated
    December 13, 2018 (the “Security Agreement”), with Mr. Grover and CLR’s wholly-owned subsidiary, Siles, as guarantor, and Siles executed a separate Guaranty Agreement (“Guaranty”). The Credit Note accrues interest at eight percent (8%) per annum. All principal and accrued interest under the Credit Note is due and payable on December 12, 2020.

    -----------

    (2) In December 2018, CLR advanced $5,000,000 to H&H Export to provide services in support of a 5-year contract for the sale and processing of 41 million pounds of green coffee beans on an annual basis. The services include providing hedging and financing opportunities to producers and delivering harvested coffee to the Company’s mills. On March 31, 2019, this advance was converted to a $5,000,000 loan agreement as a note receivable and bears interest at 9% per annum and is due and payable by H&H Export at the end of each year’s harvest season, but no later than October 31 for any harvest year. On October 31, 2019, CLR and H&H Export amended the March 31, 2019 agreement in terms of the maturity date, to all outstanding principal and interest shall be due and payable at the end of the 2020 harvest (or when the 2020 season’s harvest is exported and collected), but never to be later than November 30, 2020. The loan is secured by H&H Export’s hedging account with INTL FC Stone, trade receivables, green coffee inventory in the possession of H&H Export and all green coffee contracts. As of September 30, 2019, the $5,146,000 note receivable remains outstanding which includes accrued interest.

    ----------

    (3) The Company also has recently determined that the value of the collateral underlying a promissory note, due November 2020, in the principal and interest amount of $5.3 million, from H&H has been impaired, resulting in an impairment allowance for $5.3 million. As a result, management believes it is more than likely that the Company will not collect the outstanding balance and interest due on the note receivable, and allowances for doubtful accounts should be recognized at December 31, 2019.

    The Company has therefore recognized allowances for collectability against the remaining net trade account receivable, notes receivable and other receivables due from H&H for approximately $5.0 million, $5.3 million and $397,000, respectively. These amounts have been recorded as allowances for doubtful accounts at the end of December 31, 2019.

    -----------

    (4) $5,000,000 * 8% = $400,000 * 2 = $800,000.

    ---------

    (5) YGYI has no options other than to file bankruptcy.
  • T
    Ted
    Inventors in YGYI are taking a great risk by continuing to hope for the best as the clock ticks down to Nasdaq booting it off the exchange. Whether the company files its 2019 10k in time to avoid a Nasdaq delisting is irrelevant to the value of the company’s stock price.

    YGYI has already disclosed that losses in 2019 will exceed $24 million, and will likely reach a figure closer to $27 million, if not higher. Bringing its 10k filing up to date will only confirm the massive size of losses in 2019, instead of leaving the exact number to speculation. Losses greater than $25 million for two consecutive years are going to trigger an immediate sell-off, making the company's current share price today of $0.57 look generous as investors seek to preserve what little is left of their capital in YGYI.

    YGYI is out of time. The company no longer has capacity to continue to fund its operating deficits. Over the past 12 months, YGYI issued $1 million in secured debt with a 1-year maturity at 18% on March 20, 2020, $6.4 million of 9.75% preferred stock on December 17, 2019, and $8.3 million of 9.75% preferred stock in September 2019. That totals $15.7 million of capital issuances, all capital that's higher in priority than the company's common stock. To make matters worse if you're a common shareholder, not only is YGYI unable to issue more fixed obligation securities, but the company has taken on $1.6 million in promises of preferred dividend/interest payments. When the company is incurring massive operating losses, how does it come up with cash to pay these promises? Aside from these very pressing liquidity concerns, YGYI has a debt maturity of $5 million coming due in December 2020.

    A company incurring $25 million in losses will be unable to make an additional $1.6 million in payments for very long to service fixed obligations related to previous capital issuances. The only lever available to YGYI is to continue to issue more common shares, diluting you, the common shareholder. If you're wondering if this is really true, whether management would be so brazen to treat its common shareholders with utter disregard by issuing tens or hundreds of thousands of shares of equity to fund never ending losses, then take a look at the company's press release on April 21, 2020. To fund its ill- conceived hemp business in Nicaragua, YGYI will issue “1.5 million shares of YGYI common stock to the Nica Hemp Cooperative in exchange for a 50% stake in the land …” Whether common shareholders realize it or not, management of YGYI is already massively diluting them and YGYI will continue to dilute shareholders right up until the day the company files for bankruptcy, regardless of whether Nasdaq boots them off the exchange on September 29th.

    Common shareholders should realize that Youngevity is out of time. While painful, sell and take $0.57 for your shares while it’s available, otherwise you risk selling at levels much lower later in the week. If you question the credibility of my view, take a look at what I wrote to warn investors at the end of June when the company’s stock was $1.40:

    https://www.dropbox.com/s/fepwicgsgv83qs9/YGYI%20-%20Investment%20Write-Up.pdf?dl=0
    Shared with Dropbox
    Shared with Dropbox
    www.dropbox.com
    Bearish
  • B
    Bethany
    One of the biggest movers for today, on unusual volume and % gains
    https://chart-analysis.tools/top-trade-idea
  • m
    m
    Are we heading to $20 or back below $10?
  • T
    Ted
    Interesting that cbdMD, another publicly traded CBD company, announced today it too will start to produce hand sanitizer. The company's share price ended the day +11.3% as a result of the announcement. Yesterday, when Youngevity announced its entry into the hand sanitizer manufacturing business, its stock finished the day +270%. Despite giving back some of those gains today by falling 30%, YGYI’s stock is up net 89% from pre-hand sanitizer levels. As more and more companies announce plans to jump into the hand sanitizer business, the question for YGYI investors is this: is cbdMD going to match YGYI's two day performance of +89%, or will YGYI's two day run up of +89% melt away shortly, ending at levels closer to cbdMD's bounce of +11%? Regardless of the answer to this question, the optimal strategy is to sell YGYI and buy YCBD.
  • B
    Bill
    YGYI is going lower because of an accounting delay (COVID related) with their coffee operations outside the U.S., that's it. Their coffee segment increased revenues by almost 200% to almost $23 million in the first quarter of this year. Also, their hemp business and CBD oil business is getting ready to take off. Huge opportunity at these prices to get in on these verticals that will create a much stronger company. We're very early in the cycle, YGYI is a winner and will produce big returns going forward.
    Bullish
  • N
    Nicole
    Hand Sanitizer Utilizing FDA/CDC Approved Formula Begins Shipping this Week
    SAN DIEGO, April 7, 2020 /PRNewswire/ -- Khrysos Industries, Inc. a wholly owned subsidiary of Youngevity International, Inc. (NASDAQ: YGYI), a multi-channel lifestyle company operating in three distinct business segments including a commercial coffee enterprise and its commercial hemp enterprise announced today that the company has begun producing hand sanitizer in various sizes including 2 oz., 4 oz., 8 oz., and 1 Gallon Packaging. The company was granted a license by the FDA to begin producing hand sanitizer in its Orlando, FL facility. The company disclosed that there is demand for hand sanitizer for retail distribution and within the health care system including retirement homes and hospitals. The company brought online a  state-of-the-art facility that features a 46,200 sq. ft. production area that includes 5,200 sq. ft. of class C7 sterile capable workspace late last year and expect to be well positioned to utilize its operation to produce hand sanitizer that is in high demand due to the impact of the coronavirus.
    Bullish
  • T
    Ted
    $2.70 (end of day price) minus $0.70 (start of day price) * 30 million outstanding shares  = $60 million of value created from hand sanitizer announcement.

    Hand sanitizer = alcohol + aloe vera, very easy to make but currently in short supply. Once Purell and others in this business ramp up production, hard to see who buys from YGYI. At most, YGYI in this business for a year, probably less. This is a super low margin business. Even if it carries 15% EBITDA margins (real margin is lower), that implies $400 million ($60 million / 15%) in sales of hand sanitizer this year by YGYI. That's a lot of hand sanitizer! The company did less than $200 million in revenue last year. Not a stretch to say people are very bullish on this hand sanitizer announcement.

    I doubt the company has capacity to sell $50 million of hand sanitizer to say nothing of the $400 million baked into Tuesday’s price movement.

    Tuesday’s announcement was
    worth at best $0.25 per share, resulting in a stock price of $1 per share ($0.71 + $0.25 = $0.96). Tuesday’s short squeeze drove the share price to this level Tuesday, explaining why a company with average daily trading volume of 90,000 shares traded 32 million shares in a single day.

    Any sensible investor will take Tuesday’s winnings off the table before this comes crashing down to $1 over the next few days.
  • T
    Ted
    Bad news for Youngevity.

    On June 29th, the Russell 3000 Index deleted Youngevity from its membership list. Several large index funds are holders of Youngevity. Since Youngevity is out of the index, institutional index funds will not continue to hold their shares. Expect BlackRock, BYN Mellon, and a bunch of others to start dumping shares today. Chickens finally coming home to roost.

    LINK to Russell 3000 deletions:
    https://content.ftserussell.com/sites/default/files/ru3000_deletions_20200626.pdf
  • D
    David
    I have been investing with some day trading for years. Seen many pumps and dumps related to new offerings. You can almost go back in history watch there cash on hand and time frames and figure out within a 6 month span when this cycle occurs again. Food for thought...
  • T
    Ted
    YGYI: Going from Bad to Worse

    Link to investment write-up:
    https://www.dropbox.com/s/fepwicgsgv83qs9/YGYI%20-%20Investment%20Write-Up.pdf?dl=0
    Shared with Dropbox
    Shared with Dropbox
    www.dropbox.com
  • T
    Ted
    SEC Action & YGYI

    The SEC finally appears to be getting its enforcement act together, gearing up to pursue companies whose shares traded up wildly on coronavirus news. The article below quotes Thomas Gorman, a former SEC official as saying the agency should "absolutely" be investigating the situation at Moderna. For the unfamiliar, Moderna made an announcement about a corona vaccine under development during the height of the crisis and saw its stock double almost immediately. Any smart Moderna shareholder is well advised to sell. Once the SEC announces an investigation, the stock will fall 40% in 3 seconds.

    To all YGYI shareholders, stand up and take notice:

    For I am involved in mankind.
    Therefore, send not to know
    For whom the bell tolls,
    It tolls for thee.
    - John Donne

    Any views on when the SEC will come knocking on YGYI's door?

    Moderna's coronavirus vaccine announcement set off a frenzy on Wall Street. Now some are calling for an investigation

    LINK:
    https://edition.cnn.com/2020/06/01/business/moderna-vaccine-stock-sales-invs/index.html
    Moderna set off a frenzy on Wall Street earlier this month when it announced positive, preliminary results from its coronavirus vaccine trial. As the hype grew, the young biotech company and its leading investor wasted no time capitalizing on the bri
    Moderna set off a frenzy on Wall Street earlier this month when it announced positive, preliminary results from its coronavirus vaccine trial. As the hype grew, the young biotech company and its leading investor wasted no time capitalizing on the bri
    edition.cnn.com
  • C
    Christine
    According to Ted, YGYI has already been delisted by Nasdaq on 11/5/20. The delisting hasn't happened and the price possibly already priced in as delisting news more than 16 days ago. Even if YGYI moves to the OTC pink market, the price might stay the same until they are able to correct past earning reports and their current year's earnings. The move down for TEUM (in Ted's recent post) occurred a day after they announced the delisting news. With YGYI delisting is old news and the price still hold at this level. Investors can be the judge. Don't take my words for it.
  • T
    Ted
    Hi Christine, for the record, you didn't address how YGYI is going to repay its $5 mm loans when it's out of cash and incurring huge operating losses. I guess I asked you an unfair question, considering the correct answer to the question is that the company isn't going to repay its loan.

    Separately, why do you think the $5 million loan to Youngevity was made by an individual and not a bank or investment fund? It's because no bank or investment fund will lend to the company.

    To address your point about companies and governments borrowing money, sure, that's done all the time. The issue for Youngevity isn't the borrowing part, it's the repayment part. Youngevity is out of cash, is incurring huge operating losses, and is looking at a $5 million loan maturity with no hope of arranging a refinancing. It's shocking to me that investors are willing to cast aside obvious facts in favor of taking the risk of investing in a sub $1 stock, hoping to double their money. Investors in YGYI are going to learn a hard lesson here very shortly.

    If you wish to stay in this company given all these facts, to say nothing of the impending delisting, then good luck to you. But you'd be much better off putting you funds into Apple or Google.
    Bearish
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