RE:RE:RE:RE:RE:RE:RE:$1 soon Having margins of 17% simply makes the company interesting. Just because other companies exist that are worse off doesn't mean anything to me.
Let me enumerate some concerns:
Kelso's products involve proprietary engineering solutions and therefore may not see widespread adoption as hoped. It may be difficult to maintain regulatory qualification for its products, or to attain such qualifications for future innovations. Kelso may not have sufficient capital to meet the growth necessary to justify its current stock price. Kelso has limited operating history. New markets for their products may not develop as quickly as anticipated or maybe not at all. Unforeseen competitors may affect revenues and margins. Kelso is dependent on a small number of OEM customers. Current products may not perform as expected or may have undiscovered failure modes, leading to significant liability. There may be unforeseen production capacity issues. New product innovations may not even materialize. Loss of key senior management could materially impact future profitability.
If you think my concerns are unfounded, I simply paraphrased from their own financial report. The company is going to experience a minimum of 5% annual dilution as far as the can see. That's my call. So, I would like the stock price to come in line before I get so excited about it. It merely takes one quarter of bad numbers to wipe a quarter or third of the stock value in minutes.
The company is not a slam dunk. They need 50% annual growth for 3 years and that growth must lead to sustained ongoing earnings. That's just to justify the current stock price.
GLTA.