Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

Intchains Group Ltd V.ICG


Primary Symbol: ICG

Intchains Group Ltd is a provider of integrated solutions consisting of computing application specific integrated circuit (ASIC) chip products for blockchain applications and a corporate holder of cryptocurrencies based on Ether (ETH). The Company utilizes a fabless business model and specializes in the front-end and back-end of Integrated circuit (IC) design, the two components of the IC product development chain. The Company’s products include computing ASIC chip products consisting of ASIC chips, computing equipment incorporating ASIC chips, ancillary software and hardware, the products are mainly used in the blockchain industry. The Company had built a technology platform named Xihe. The Company has developed hardware models and several systems under the Xihe Platform, including a factory production test system, an after-sales data system, a computing server system and a batch management system.


NDAQ:ICG - Post by User

Comment by Marine2on Sep 20, 2016 7:26pm
167 Views
Post# 25258501

RE:RE:Cream rises to the top

RE:RE:Cream rises to the top

If you are asking, what is the difference in terms of an high risk investment, what is, 

 

“the difference in the value of a company A with say 465 Mio shares out @ 0.8 CAD and a company B with 46.5 Mil shares out @ $8.00 CAD. And for the sake of this example, let's add a third company C with 4.65 Mil shares out @ 80 CAD.””

 

I can help explain the difference in “investment perspective", because, “A company with 465 Mil shares out @ 0.8 CAD” has the “same value”   or “market cap” as a company with 46.5 Mil shares out @ $8.00 CAD,, $372 million.

 

One always has to ask, why am I investing my money in this company and then how many people do I have to share this investment with,,  number of shares out ?

 

The reason capitalization, “number of shares out” is so important when looking at a exploration company like Integra is it acts as a barrier to higher share prices because the number of shares out acts as a multiplier for increasing market cap as apposed to share price appreciation.

 

If your looking at a company where the market is supporting a $8.00 share price with only 46.5 Mil shares out and the same company is supporting a 0.80 share price with 465 Mil shares out ,, ALL THING BEING EQUAL,,,  what company would have the lowest multiplier supporting share price appreciation when good news comes out,,  Like we had with Integra on Monday ? 
 

One would think (With ALL THING BEING EQUAL) it would be harder to advance a $8.00 share price % wise as opposed to a 0.80 stock but when it comes to applying risk reword in juniors, a company with 46.5 Mil shares out will move up faster on the same news ! IMHO

 

I have experienced this with my KDI shares with the company only having 46 million shares out,, good news has always jumped the share price up also short sellers can’t force the stock down because it’s not as liquid ! IMHO

 

Give me the lower share count and the higher share price ! IMHO

 

M2

 

<< Previous
Bullboard Posts
Next >>