Took a position today!Why i'm bidding today:
Current Assets: 96.2M
Current liabilities: 17.0M
Workign Capital: (96.2 - 17.0 M) = 79.2M
Shares outstanding: 36,373,116
WC per Share: 2.17.
If i buy all the shares at less than 2.17, I can fire everyone, pay off all liabilities, sell the inventory for cash and break even with cash, yet still be able to sell Property Plant and equipment for pure profit. even if it's all just for 1M.
Anyone wanna lend me 33M? hehe JK. I don't understand why the SP is 0.90$. Is this a joke? did I miss somethign here? hmm taking into account "restricted" cash which can't be burned right away... 79.2M - 11.2M = 68M or 1.86 per share.
In comparison to Q2....
Revenue for Q3 doubled, yet Administration and labour expense only increased by about 50%. I like this proportion! proportion. Research costs increase... hmm No comment, but I do fancy a technology company needs R&D. Selling expense decreased.. Nice!..
30+ customers.. great! thats quite the diversified base...
However, COG's sold in Q increase i have a problem with.. however,
Loss per share was 0.05. COnsidering the amount of working capital. The company will have to continue to have an equivalent loss per share for 25 (6 years) more quarters untill 0.90 = WC. (down from 2.17). lol.. Well.. I'm in no worry the company is going bankrupt. Thats plenty of time. Till then i consider @ this price, this is a safe investment. It's like I give you 0.90 cents for 2.17$ of yours. K thanks :)
LOL i feel like a criminal. IPO was 7.20 just a year ago? Now i'm buying in at 0.90?
What the fook did i miss?