Hey Joe - date Sol a con - ? Consoladate - lolHappy New Year to you -
I like your optimism in your last post - all but one - thingy - lol
Your claim to believing in management and then say - consolodation - is this not a contradiction ? I would have less faith in management if this move ever occurred.
You see Joe - my belief is -
I got into this play - thinking it would be a pure play - not only with leasing but how they would acquire the contracts - i honestly thought it would be a pure finance play - just the one round of shares offered - and less shares used - and what ever contracts they captured - would be a simple financing - two way - three way split - always a profit portion going back to pyd based on slot performance - never did i imagine such an amount of shares would be used -
Going forward - if what you wish for..... did occur - i would lose all faith - and yes.. i would definitely not vote for such a move.... A simple calculation proves that - if one ever did experience a consolodation - it never benifits the shareholder - who in their right mind would want to recieve less shares - a 10:1 ratio in your example - and think that price would hold ?
There's no guarantee the price would remain solid - all because the revenues aren't quite there to sustain such metrics.... And that would mean it would be a 4th blow to shareholders...
1 - the stock didn't move forward = on the Integrity acquisition
2 - the stock went retrograde - ever since the acquisition - even with growth and showing
positive revenues
3 - if ever a consolodation - less 10x the shares ( your example Joe )
4 - i also beleive it wouldn't sustain in price due to - present revenues not
sufficient - pyd still in growth phase. thatwould be the 4th blow.....
i'm not for consolodation - i could never be. And i will assume you only mentioned such a topic - which has never been brought up - to my knowledge by management - to get the sh-it stirring on the board ? right...? lol
If management used such shares - and investors to get where they are now - then here's the perfect opportunity for pyd - to buy back shares - a retribution of giving back and a respect to shareholders.... hey.. were at an all time low.... grrrr !
I am at a loss - to how you think such a move to consolodate - would ever prove positive.
- HYPOTHETICAL - ANY COMPANY -
500 K SHARES bought at .12 cents = $60k
500 k SHARES stock rises to .30 cents = $150k
- IN TIME - STOCK DROPS - JuST LIKE IT HAS - GRRR !
10 to 1 - consolodation @ 5 cents ?
500k shares = 50 k shares x .50 cents = $25k
In order to achieve the same profits for the investor - the stock would need to rise to $3 DOLLARS 500k shares 10:1 rolled back = 50k x $3 = $150 k -
With my simple intelelct of stocks - PYD doesnt have the revenues - no where near to commnad a $3 dollar stock value.
In conclusion - i would rather pyd buy back - or remain as so - and keep trucking forward - and acquiring contracts - and in time - the revenues that increase will counter the amount of shares out and eventually raise the SP -
Cheers !