RE:RE:RE:Global ConditionsI agree with the general thesis that, just as a rising tide lifts all boats, so to will a receding tide, lower all boats.
Micro-cap companies that do not make money (cash flow negative) or that need to raise money are likely dead in the water for the foreseeable.
However, now is the time to select companies that have a reasonable pathway to doubling or tripling their top line, increasing their margins and that have fully funded their future growth. Secondly, fundamentally the world is moving towards increased use of diagnostics to manage an underfunded & under resourced medical system. The trend is self management and quick & inexpensive assesment.
Both these factors favour MBX
Have your buy list ready if and when the good companies get punished unfairly. Bottom picking is difficult so always try to keep some powder dry (in case you are surprised at how punishing things will get). The good news is that when the bottom is found, the first to bounce, and bounce hard, will be the companies tha make money, and those that are well positioned to grow.
In short, I am now preparing myself mentally for some bargains to emerge as people start throwing out the babies with the bath water (margin calls, extreme fear, etc.) MBX will be, and has been, on my buy list. Bought some more the other day at .47. IF it goes lower in the next general market leg down (likely IMO), I'll be buying. I have tried to jettison everything that: (1) does not have positve cash flow in the near future, and or that (2) needs to raise money during the period of the bear market, and or that (3) won't benefit from recent medical trends (Covid, diagnostics, etc.) .
If you, Thoughtsonthis, are convinced that MBX cannot buck the general market trend (admittedly highly negative) you should really sell today, and put in a bid at .35 (instead of putting in a stop loss at .35). Beacuse I am not convinced, I would prefer to average down, knowing that I will be paid back handsomely when the market inevitably turns, even if I have to wait until 2023 or so. That will be after the FED blinks, and when they realize that higher interest rates and QT is causing a Recession that is just too painful for the then current administration and average Joe. The average Joe is now only concerned about inflation, and stable prices is a Fed mandate. However, they will be capped as to how far they can go, and they may hit that limit as early as late 2023...at which drugs will be re-administered (in the form of QT and a lowering of rates). That's when you want to be well stocked with MBX shares & others.
MM
ThoughtsOnThis wrote: I agree with your position and analysis. However, I don't see what will save MBX from a steady move downward over 2022. MBX is not going to be immune (to conditions) so I think that MBX sights have to be set well into the future. Thinking 2 to 3 years to meaningful upside. And if they happen to make a misstep along the way? I am still hopeful, but realistic about MBX. I'm going to keep my shares with a Stop @ $0.35. Hope we don't see that...