the conac environmentI dont feel in any way competant to comment on the business goings on with conac, or the stock market in general. But I have been hanging out in this forum long enough to see a few paterns. Preceding the financials every three months, things in here get ansy. Imagine, so-called longs worrying from quarter to quarter. the numbers will be out when they are out. They were out the 22nd of March, the last day of June, and you can bet it will be the last week of september this time around.
With regards to the recipients of the private placements selling their shares...it is anyone's guess who is doing the buying and the selling. I imagine there are some people flipping shares for a quick profit, and I imagine there are others who are accumulating.
Sometimes being an investor in Conac it is easier just to read the management Discussion and Analysis and get a warm fuzzy feeling inside. It all sounds good. And at the bottom of it says "The CDNX has not reviewed and does not accept responsibility for the adequacy or accuracy of this release." I took some time to compare the Q2 and Q3 reports. Like I said, I dont one end of a financial statement from the other, but this is what I noticed:
In the three months of the thrid quarter (Feb - April) Conac's revenue was about 600,000. It's operating loss increased by 176,000 and at that rate it hould have a year end operating loss of almost 800,000 if revenues continue to grow at current levels. And all this happened while they raised 2.23 million from the issuance of common shares. If I am off on any of this, PLEASE point it out (hint to you AGF).
Since Jan 31, it looks like Conac has issued an additional 5, 126,000 shares. (private placements, options). So, you can bet that if the share price makes a move after the upcoming financials, or after a news release, the holders of these options (if they are exercizable, not sure) and the private placement folks, might sell off and keep this thing from going too high. After the last financials, the price went pop, then drifted lower on shrivelling interest. This is my take on things. It might be way off.
To date, I calculate roughly 33.44 million fully diluted shares. Is this good or bad? it makes the loss per share look better for sure.
Friction