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Posted On: 02/13/2019 8:00:06 PM
Post# of 2219
Feels like the short bashers have flipped, and are now long. I would too given how imminent the licensing news has become. No one knows when it will happen.
Pure stupidity to short this stock now. The shorts tried since March 2018 to drive this stock to oblivion and the MARKET said, "Nope! not going lower than .25 (1.5M cap) because we don't believe your crap!!" ...or something like that.
So, what is the value of these licenses??? I think its substantial relative to SIGO's current market value. Over $10M? $20M?
Time is money, and it has taken some these CA companies, like SIGO, over 1.5 years to get these licenses. Any entity wishing to enter or expand in this market, through organic growth or acquisition, will have to consider the lengthy licensing process. Will they want to forego revenue for 1.5 years waiting for licenses? What if that potential revenue is $10M? $20M? That is the opportunity cost if they wait for licensing. OR, they can just buy a company, like SIGO, buy its licenses. What would the value of these licenses be? A lot more than the current market value of SIGO, that's for sure.
THIS is why shorting SIGO is a really bad idea right now, IMO.
Pure stupidity to short this stock now. The shorts tried since March 2018 to drive this stock to oblivion and the MARKET said, "Nope! not going lower than .25 (1.5M cap) because we don't believe your crap!!" ...or something like that.
So, what is the value of these licenses??? I think its substantial relative to SIGO's current market value. Over $10M? $20M?
Time is money, and it has taken some these CA companies, like SIGO, over 1.5 years to get these licenses. Any entity wishing to enter or expand in this market, through organic growth or acquisition, will have to consider the lengthy licensing process. Will they want to forego revenue for 1.5 years waiting for licenses? What if that potential revenue is $10M? $20M? That is the opportunity cost if they wait for licensing. OR, they can just buy a company, like SIGO, buy its licenses. What would the value of these licenses be? A lot more than the current market value of SIGO, that's for sure.
THIS is why shorting SIGO is a really bad idea right now, IMO.
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