Thanks J for cleaning the board up. I'm thankf
Post# of 3844
Posted On: 01/12/2014 11:09:39 AM
Thanks J for cleaning the board up.
I'm thankful this forum is available as a resource for fair and honest discussion of investing and trading opportunities. The major difference I hope to see continue is reasonable and real discussion of opportunities from smart fundamental and technical traders. IHUB simply allows to many charlatans to "take the mike" without any real control over b.s..
That being said, if anyone has legitimate concerns about any stock, then some chatter and discourse involving links and boots on the ground experienced discussion are very welcome in my book. I know how to spot red flags in penny land. I know how to make money on pump n dumps. To me, making money in the market is no different when playing pennies or big boards, with obvious exceptions such as dividend plays.
EWSI IMO is one of those rare risk/reward penny plays that can offer huge gains in the not to distant future. At this point with their filed results I would have expected the market to provide a much higher valuation. But, it hasn't...yet. My bet is that it will...and soon. The charts say up. Once we crack 10 on hvy volume it will be for very clear fundamental growth reasons. This is where the idea of an actual investment in an OTC stock starts to make sense. We'll know we made the right decision if and when we get there. Again, IMO it shouldn't be very long until we realize a fundamental revaluation of the stock based on growth and rapidly increasing revenue streams. On the flip side, anyone that plays OTC stocks should realize that 99 percent of these stocks should be viewed as short term swing plays. That's just the nature of the OTC world. QB/QX companies offer fully audited and SEC compliance for further DD than pink listed companies, which are very very risky for anything other than day/very short swings.
EWSI - Dilution will continue until the company can prove its cash flow model and support growth and operational expenses with free cash flow. IMO this is at the root of the risk/reward play for those actually considering an investment here. If EWSI can get the necessary capital to fuel growth without sacrificing their capital structure to much, then those of us early to the opportunity will make out extremely well.
Everyone has their own metrics to decide their personal risk profile. For me personally I'm comfortable with EWSI having an O/S of 360Mish FY2014 as long as the balance sheet is clearly pointing the way to a successful net positive cash flow model. I will re-evaluate EWSI after the first half of 2014 is filed with the SEC. Everyone has to make their own decisions with their own money with trading tools that they're comfortable using. Again, 99 percent of all OTC are for flipping only. We are absolutely taking a road less traveled by accumulating and holding an OTC company as their business model develops. Most of the time this approach will fail with OTC. There are simply to many crooks leading OTC companies that are only out to line their own pockets. I have obviously taken an exception with EWSI.
Can EWSI fail? Of course it can. Businesses fail every day. I weigh the market opportunity (150B), the players that are already present in the industry (opportunity for another leader??), and the business model/leadership's ability to execute and gain market share and produce a repeatable and growing revenue stream that supports operations/continued growth/and a healthy balance sheet that can be analyzed fundamentally. If EWSI is really going to up list (I believe they are), then a fundamentally healthy business model that clearly shows an industry/company that can provide repeatable profit margins is necessary. I think they can.
I think gross margins will stay in the 25 - 30 percent zone.
Rapid rev growth will continue Qtr over Qtr (IMO this constitutes 30 percent or greater) for at least two more years.
Operating costs must stabilize and allow for organic growth to move the company toward cash flow positive. Expenses and smart use of the capital structure are a must.
I love the process of securing assets for debt relief and some modest capital outlays that allows for an ROI of one year or less for EWSI. They've proven it with SURF. 2TRG is next. There may in fact be several more this year. This will add shareholder equity quickly and should help EWSI to be recognized as a small cap fundamental growth play more than anything else.
Anyway, just some thoughts on a lazy Sunday morning. Some things to consider as we head into Q1 2014.
I do hope everyone makes a million here.
I'm thankful this forum is available as a resource for fair and honest discussion of investing and trading opportunities. The major difference I hope to see continue is reasonable and real discussion of opportunities from smart fundamental and technical traders. IHUB simply allows to many charlatans to "take the mike" without any real control over b.s..
That being said, if anyone has legitimate concerns about any stock, then some chatter and discourse involving links and boots on the ground experienced discussion are very welcome in my book. I know how to spot red flags in penny land. I know how to make money on pump n dumps. To me, making money in the market is no different when playing pennies or big boards, with obvious exceptions such as dividend plays.
EWSI IMO is one of those rare risk/reward penny plays that can offer huge gains in the not to distant future. At this point with their filed results I would have expected the market to provide a much higher valuation. But, it hasn't...yet. My bet is that it will...and soon. The charts say up. Once we crack 10 on hvy volume it will be for very clear fundamental growth reasons. This is where the idea of an actual investment in an OTC stock starts to make sense. We'll know we made the right decision if and when we get there. Again, IMO it shouldn't be very long until we realize a fundamental revaluation of the stock based on growth and rapidly increasing revenue streams. On the flip side, anyone that plays OTC stocks should realize that 99 percent of these stocks should be viewed as short term swing plays. That's just the nature of the OTC world. QB/QX companies offer fully audited and SEC compliance for further DD than pink listed companies, which are very very risky for anything other than day/very short swings.
EWSI - Dilution will continue until the company can prove its cash flow model and support growth and operational expenses with free cash flow. IMO this is at the root of the risk/reward play for those actually considering an investment here. If EWSI can get the necessary capital to fuel growth without sacrificing their capital structure to much, then those of us early to the opportunity will make out extremely well.
Everyone has their own metrics to decide their personal risk profile. For me personally I'm comfortable with EWSI having an O/S of 360Mish FY2014 as long as the balance sheet is clearly pointing the way to a successful net positive cash flow model. I will re-evaluate EWSI after the first half of 2014 is filed with the SEC. Everyone has to make their own decisions with their own money with trading tools that they're comfortable using. Again, 99 percent of all OTC are for flipping only. We are absolutely taking a road less traveled by accumulating and holding an OTC company as their business model develops. Most of the time this approach will fail with OTC. There are simply to many crooks leading OTC companies that are only out to line their own pockets. I have obviously taken an exception with EWSI.
Can EWSI fail? Of course it can. Businesses fail every day. I weigh the market opportunity (150B), the players that are already present in the industry (opportunity for another leader??), and the business model/leadership's ability to execute and gain market share and produce a repeatable and growing revenue stream that supports operations/continued growth/and a healthy balance sheet that can be analyzed fundamentally. If EWSI is really going to up list (I believe they are), then a fundamentally healthy business model that clearly shows an industry/company that can provide repeatable profit margins is necessary. I think they can.
I think gross margins will stay in the 25 - 30 percent zone.
Rapid rev growth will continue Qtr over Qtr (IMO this constitutes 30 percent or greater) for at least two more years.
Operating costs must stabilize and allow for organic growth to move the company toward cash flow positive. Expenses and smart use of the capital structure are a must.
I love the process of securing assets for debt relief and some modest capital outlays that allows for an ROI of one year or less for EWSI. They've proven it with SURF. 2TRG is next. There may in fact be several more this year. This will add shareholder equity quickly and should help EWSI to be recognized as a small cap fundamental growth play more than anything else.
Anyway, just some thoughts on a lazy Sunday morning. Some things to consider as we head into Q1 2014.
I do hope everyone makes a million here.
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(0)E-Waste Systems, Inc. (EWSI) Stock Research Links
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