Yes, any stock in pink sheets land is subject to t
Post# of 11899
Yes, any stock in pink sheets land is subject to the low volume pps manipulation of any who wish to play with the ticker as if it is a ragdoll toy. In discussing what could get the pps to move upward, we could talk about GotVape sales, exposure of the product withe celebrity placements, new product launches, 10k and other filings, sales, revenues, inventory, new distributors, etc etc etc. However no matter how many fundamental positives there could be with the company in the near future or even now, the fact is that the stock is still on the pink sheets and so can be highly manipulated, at will.
Before we can even speak about an upward trajectory for the pps and shareholder appreciation by properly valuing the company with the assets vs liabilities it shows currently and what the future earnings could be, we need to assume we have a stable properly trading stock on an exchange which does not so easily allow a few hundred dollars worth of trades each day to pull the company market cap valuation down or up 25% or greater. So I think its clear that the stock must get off of the pink sheets exchange and onto the OTCBB to get any upward movement. I think shareholders realize this and I think the CEO realizes this, but this kind of process takes a while; need an audit completed and disclosure filings, when that could happen, no one really knows but at least it seems to be a priority for RFMK management.
Also I hate to bring it up but dilution is also very taxing on sentiment. What investor sitting on the sidelines watching and waiting to get in wants to jump in to buy millions of shares when month after month we all watch the O/S moving up and up and up? Another big key to stock appreciation is trust for shareholders in believing that the share structure is stable and that they will not be caught buying a bunch of shares and then massively diluted the next week. If it continues, the only ones willing to play in the stock will be the daily flippers who get in and get out on the same day or the next day and the preponderance of only that kind of action typically creates downward movement in price and volume. Investors need to see that the share structure has not changed in months and is probably not going to change in the near future, in order to take long term large positions in the stock. Plain and simple. Management can make this happen by halting all plans for further dilution, however remember, anyone with preferred shares who has the ability to covert into common shares can dilute the O/S as well and the company has no control over that so that could still take place in the future, but I think a mix of both types of dilution has happened in the stock in recent months and it destroys sentiment.
Lastly, real actual sales bringing in real actual revenues in real actual filings would at the very least get the pps from marching lower and it would probably actually move upwards. I am hoping that Q2 and Q3 reports are filed and they show increased sales, revenues and profit. The company is basically out of debt which is a very big positive. They have operating cash now because of the raising of funds via dilution over the months this year so that is another positive. They have inventory which is worth more on a per share basis than the current share price which is another positive. Also they have huge potential to earn profits going forward with everything that is planned, and all of that is not priced in the share price right now so clearly the pps is way undervalued. But it does not matter how undervalued the pps is because the stock is still on the pink market and so on any given day a market participant can print whatever price is desired and the stock could show intraday gains of thousands of percentage points or show losses of 99.9% from a single trade. Its just a toxic environment for the stock and so I think it is entirely accurate to assume that we will not see significant pps growth until the stock is listed on the OTCBB. Hopefully for shareholders sake it happens sooner rather than later.
GLTA!
$RFMK!