How does the saying go? We have found the enemy, and it is us.
While I appreciate all those who have worked hard to connect the dots, read between the lines, and come up with other scenarios, it has far proven to be counterproductive. Almost all have proven to be unfounded and only gave the stock price a momentary lift.
I’m guessing the company stopped issuing updates on its progress because it noticed that the positive updates lifted the stock price for a few days only to fall back later. Any new investors who bought in on the positive news watched their investments go negative in the fallback. The company probably realizes that only substantial news such a partnership or FDA approval will bring permanent share price movement upward.
As for those who want the company to make a quick deal, the reality is that a quick deal would be a low ball offer that management and everyone here would find unacceptable. According to Chat (yes, Chat again), in the last 10 years only 5 small biotechs were bought out for more than 3x their market value. The largest was 5x, Tobira Therapeutics by Allergan. Nobody would like to see management accept an offer of $1.50 (5x$.30). Yes, LL is good for a number of diseases, but we don’t have a single approval yet. If the buying BP were to offer much higher than 5x, their stock holders would probably riot and oust whoever was responsible for the offer.
So the company is doing what it thinks will bring an approval. For those who are upset that the CRC trial is enrolling so slowly, remember that it is not something under management’s control. The enrolling institutions and doctors have their obligations. Enrolling in our trial is our top priority but not theirs.
For those of you who have been holding stock in this company for a long time (I feel for you) and are upset that things are not progressing as fast as you would like, remember that Dr JL has been permanent CEO for less than two years and has had a lot of cr*p to clean up. NP did harm in multiple ways. He wrecked the reputation of Cytodyn and angered the folks at the FDA. He also signed such terrible contracts to raise funds that it’s still hanging over the company today.
Unfortunately there are no quick ways to bring our market value to where we all want it to be. So the company is doing the best it can to get the approvals it needs. It’s a slow process. The 500M additional shares will give it the cushion it needs to get there. Some have calculated that CYDY, when all is said and done, will be worth $40B, $80B, or even $171B. With 29% dilution the 500M brings, I would think everyone can live with $76 per share ($171B/2.25B), and that is only if all 2.25B shares are issued. I’m sure it won’t be anywhere near that high, but should be way better than $1.50 per share.
Every time we complain about the slow progress or lack of communication, we are only doing exactly what whoever is suppressing the stock wants (put pressure on management).
So come Monday if the share price drops significantly, look at it as another buying opportunity. I know there are others like me who are close to being tapped out. Remember, if you don’t sell you haven’t lost. If you have faith that the company will ultimately succeed, then the short term share price should not be of great concern. With this stock you have to be prepared for the long haul. I know that’s hard to swallow for those of you that have been here since the beginning. I’ve only been here for 5 years but I’m prepared to stick it out for however long it takes.
Everyone must to their own due diligence and do what is best for themselves.
GLTA Longs
While I appreciate all those who have worked hard to connect the dots, read between the lines, and come up with other scenarios, it has far proven to be counterproductive. Almost all have proven to be unfounded and only gave the stock price a momentary lift.
I’m guessing the company stopped issuing updates on its progress because it noticed that the positive updates lifted the stock price for a few days only to fall back later. Any new investors who bought in on the positive news watched their investments go negative in the fallback. The company probably realizes that only substantial news such a partnership or FDA approval will bring permanent share price movement upward.
As for those who want the company to make a quick deal, the reality is that a quick deal would be a low ball offer that management and everyone here would find unacceptable. According to Chat (yes, Chat again), in the last 10 years only 5 small biotechs were bought out for more than 3x their market value. The largest was 5x, Tobira Therapeutics by Allergan. Nobody would like to see management accept an offer of $1.50 (5x$.30). Yes, LL is good for a number of diseases, but we don’t have a single approval yet. If the buying BP were to offer much higher than 5x, their stock holders would probably riot and oust whoever was responsible for the offer.
So the company is doing what it thinks will bring an approval. For those who are upset that the CRC trial is enrolling so slowly, remember that it is not something under management’s control. The enrolling institutions and doctors have their obligations. Enrolling in our trial is our top priority but not theirs.
For those of you who have been holding stock in this company for a long time (I feel for you) and are upset that things are not progressing as fast as you would like, remember that Dr JL has been permanent CEO for less than two years and has had a lot of cr*p to clean up. NP did harm in multiple ways. He wrecked the reputation of Cytodyn and angered the folks at the FDA. He also signed such terrible contracts to raise funds that it’s still hanging over the company today.
Unfortunately there are no quick ways to bring our market value to where we all want it to be. So the company is doing the best it can to get the approvals it needs. It’s a slow process. The 500M additional shares will give it the cushion it needs to get there. Some have calculated that CYDY, when all is said and done, will be worth $40B, $80B, or even $171B. With 29% dilution the 500M brings, I would think everyone can live with $76 per share ($171B/2.25B), and that is only if all 2.25B shares are issued. I’m sure it won’t be anywhere near that high, but should be way better than $1.50 per share.
Every time we complain about the slow progress or lack of communication, we are only doing exactly what whoever is suppressing the stock wants (put pressure on management).
So come Monday if the share price drops significantly, look at it as another buying opportunity. I know there are others like me who are close to being tapped out. Remember, if you don’t sell you haven’t lost. If you have faith that the company will ultimately succeed, then the short term share price should not be of great concern. With this stock you have to be prepared for the long haul. I know that’s hard to swallow for those of you that have been here since the beginning. I’ve only been here for 5 years but I’m prepared to stick it out for however long it takes.
Everyone must to their own due diligence and do what is best for themselves.
GLTA Longs
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