my long..two bits answer.Rabittears have the right answer but let me elaborate. First of all,when we INVEST in penny stocks we are not INVESTORS, we are SPECULATORS. Only one in ten of these stocks succeeds. It is not only a question of choosing the right one but also to TRY to determine when is the right time to buy or to sell. I Have been speculating since 1976 and in the process, like my wife like to remind our friends: ”Oveer the years, He has made millions of dollars and lost millions of dollars”. My paper LOST so far on this stock well exceed $100,000...which is OK. However in order to buy Medicago over the past 14 months, I sold most if not all of my ARZ , SLW and ER. Now it is not a loss of $100,000 plus I am taking about but one exceeding the one million dollar mark.
My wife who has been investing for only six years is much better than I am. She knows how to pick them, when to buy, when to hold and when to sell most of the times. When the influenza scare was over last spring she predicted that shares of Medicago will be stagnant for quite a while...and once again she was right. It is driving me crazy.
Why I like Medicago. I am originally from la Belle Province and I like homegrowth companies with serious potential. Most of all, I love their technology: innovative, cost effective, fast, no known side effects and potential impact worldwide. I like the fact they have secured MOU worldwide with many more to come possibly. I like the fact that Phillip Morris and DARPA are backing them. I like the fact that Daniel Johnson is on their board... I like also the fact that now we are listed on the Toronto exchange, not the ventures, even if we did not see the positive impact of it so far.
What I do not like:
1)Sheldon, the CEO is paid a very high annual salary but hold relatively few stocks and options. I would like him and his management team to hold 20% to 30% of the total shares and options with lower salaries. (Too late for that)
2) I HATE with a passion the terms of the last Private Placement. If you want to see how a good PP is done check the last one from to.er
3) The constant dilution of the stock.
4) The lack of promotion by Sheldon himself . It is not a bad idea to meet some brokers once in a while to promote your stock and your company.
5) I do not like the fact that we will not own the new lab in North Carolina. It would have been cheaper to get a mortgage rather than pay $1.3 million per year in rent.
Where is the stock going...
The only money, I made so far with Medicago is when I flipped 100,000 shares in a two week period during the Summer of 2009.
I must admit that in my wildest early dreams, I could see this stock hitting $20.00.
Following the official announcement of phase 2, we should go up, but by how much I do not know. We might get a little bit closer to our one year high.
Mid term , I would be disappointed if we do not hit the $2.50 mark within 2 years, following phase 3. Keep in mind, that if we are not successful with phase 2 ( a slight possibility -see V.SSS for example) we will be back below 10 cents.
Keep in mind that we may be also a target for a takeover.
Keep in mind that a pandemic.... ok forget it.
The only thing, I know for sure is I am in for the long run and I would be disappointed if we do not hit the $2.50 marks by the end of Phase 3.
On a last note: “ I feel this stock is being manipulated and the price is kept in a very narrow range”. For what purpose this is being done. I do not have a clue...but my LEVEL 2 activity does not lie.