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Verb Technology Company, I VERB
(Total Views: 487)
Posted On: 05/11/2020 1:24:36 PM
Post# of 32972
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Posted By: redspeed
Re: txhockey #19544
Warrants can be confusing. Even when I type up some scenarios, it's easy to screw it up

VERBW has an initial per share exercise price of $3.443

Let's say VERB goes to $10. VERBW should be just under $6.557 (VERB - VERBW).

Let's say you bought warrants in the market at $3.00 and the VERB goes to $10. You would have likely doubled your warrant investment.

Now lets say you bought VERBW at $.30 today and VERB goes to $10. You likely would have a 20x increase IF I did the math right.

So why buy VERB and only get a 7x return when I can get a 20x with VERBW?

Well, for one, VERB doesn't have a time limit, but VERBW does although 4 years is a long time.

If VERB only went up to $6 four years from now, you would still have a 4x with VERB. Warrants, if you bought at $3, you have lost money even though sp was above the exercise price.

Now if you bought warrants at .30, you would make 10x

Everyone should do the math themselves if they are interested in Warrants and calculate in the risk. There are a lot of factors to consider.


















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