RE:RE:RE:RE:re: kid12I agree completely, however, they may simply have accepted the fact that share based compensation would (or could) exceed revenues in the short term. There has been flux among the board, with both Lefebvre and Baillie drawing compensation in recent quarters. These are the guys they are building around, and they have to promise something in order to bring them on board.
While it cannot continue, I would not panic yet. If they continue at the percentage you describe through the coming quarters, it will represent a fatal flaw. But if they are more like one-time costs fixed to what has happened over the last quarter or two, I won't be terribly concerned.
I'm not for a second suggesting blue-skies. Just saying that the market seems to be over-reacting (or playing) to these recent financials. Big picture I would say that nothing substantial has changed, and the company that was worth .09/share in December is simply retreating after a period of hype and exposure.
The .20 price point was not reasonable given their lack of track record, but if they push toward $2M in revenues over the next few quarters with more sustainable financials, it could climb back to that level and stick there.