RE:RE:RE:BNN... I think the concern is that investors are not seeing the positive gains in the EPS that they were expecting. When the shares are diluted for expansion with the expectation that it will benefit the share holders, people are rather sour when the expectation does not come to fruition. Diving deeper into the reports I have doubts about the company. There are 2 points I would love some feedback on. In order to expand and improve the Toronto facility they are are going to finance the project with debt (35 million from their existing credit facility) & in Vancouver they will need to finance the 50 million project to combine 2 facilities into 1 (given history it will most likely be by issuing shares). These possible endeavors raise serious red flags. They do not generate sufficient cashflow to maintain and grow the dividend along with paying down debt to an ever increasing share base. I can see this company drawing from equity to maintain the payout. A company that takes considerable pride in growing is paying out far to much of the earnings. That money should be dumped back into the company to finance these expansions. I hope they also realize the EBITDA is pointless because interest does take cash as do taxes and they are constantly replacing equipment so stating that amortization does not cost them money is nonsense.
I love the idea of the company I just feel they are trying to be to much of everything being a value company that is growing with a consistent payout.
What do you think?