Risk/reward parametersPersonally, I think the risk/reward parameters here make this one of the most attractive stocks in my own universe.
We know that there is excellent support at $2.25 because the secondary was heavily over-subscribed.
Given that the underwriters are sure to exercise the over-allotment option, and assuming that all warrants will eventually be exercised, and extrapolating from the Q1 burn rate, the company's fully diluted share count exiting Q2 will be 184.4 million shares.
If all the warrants are exercised during this quarter, ( admittedly a big if ), the company will have cash on hand equivalent to $0.39 per share.
The balance sheet is very healthy.
The downside can be assessed at $2.25.
What's the upside?
Very likely much more than a few cents.