RE:RE:Low 20's by January Hey guys, I know that those that have been active posting in the last couple months have been talking Ackroo up. The Q3 financial were close to the expected revenue growth and a couple surprises such as the monthly consulting fees for the IQ724 acquisition. This is not the first time Ackroo acquires a solution and reports the monthly consulting fees in the next quarterly report (see previous KESM acquisition).
I have a hypothetical scenario that may be based in reality based on the outstanding warrants and information disclosed by Steve in the AGM and from phone calls. I would love your thoughts and here is take on share price in the near term.
Fact:
-There are warrants that will be triggered if the share price continuously stays above $0.20 for the disclosed amount of days.
Reality: (based off gathered conversations - this can change)
-Steve has mentioned that ackroo will be ready to acquire its next target after spring 2020. The immediate focus is to wrap up the IQ724 migration by the end of Spring. This will enable them to reduces the fees and have staff bandwidth to tackle the migration of the next acquisition.
-It is highly likely that Ackroo will not release any revolutionary press releases in the next couple months. No catalyst to get this over $0.20.
-there are some longs that have been actively putting downward pressure on the share price and buying back to at a lower price.
My thoughts on what is likely to happen:
the sp will not move above $0.20 for a long period of time until after the next acquisition BECAUSE:
-current warrant holders will keep downward on the stock so the warrants do not get exercised right away. This summer when Ackroo is ready to acquire a new company, one of three things are going to happens: (1) Warrants get triggered - trades above $0.20 for 30 continuous days (2) Ackroo forces the advanced trigger for the warrants. (3) the sp still hasn't triggered the warrants and they acquire a company without the $1M warrant cash injection.
-The Q4 2019 will look a lot better than the Q3 financial based on cutting some operational cost.
-The Q1 2020 will also be good news and hopefully the IQ724 migration is over so we can observe a margin increase in future Q2 operations(but who knows migrations always take longer than expected).
I would like your feedback based on this above information and the following statement:
We will not miss out on any giant leap in share price above $0.20 in the next 6months. If it does leap up, take your profit ASAP because warrant holders will dive sp below $0.20 for one day just not to trigger warrants prematurely. That being said keep accumulating under $0.20 because once the summer comes (with a new acquisition) this should hopefully go up in value because they have finally proven their business model and gained trust back in the microcap community!
Awaiting your feedback
thanks!