Post by
RebeccaG on Jan 29, 2022 3:11pm
Advice to investors. Read and decide. Pumpers openly lie
To the honest investors: My take on assessing investment in this company from someone who was burned buying this garbage during the past two years. Steps to do better than me
Know what to look for at Chalice Brands investment. Don’t fall for the typical pumpers’ tricks of fake news, promises & quarterly empty hypes. You do the research
1. Look at who is managing the company! Are they only interested in lining their pockets while investors suffer? Have they succeeded in their tasks of running a profitable company? Do they operate honestly? What do management financial markers (below) suggest? Has the stock lost its value (like 14% annual decline in stock value over 7 years?), why change management over 5 times?
Evaluate Management Effectiveness in financial parameters:
Return on Assets (ttm) -4.99%
Return on Equity (ttm) -84.38%
2. Understand the company's growth strategy and competitive position. Is growth linked to accumulating debt? Have acquisitions been profitable? Has there been a written strategy approved by investors?
3. Scrutinize the company's financials. Look at the profit margins, the Net earnings, the EBITDA, EPS, debt and the Debt to Equity Ratio. Has there been payments towards the debt &/or interest.
4. Analyze the debt, the interest, when the debt matures, does the company have a way of paying the debt (funds not delays)
5. Examine how many warrants and convertible securities the company has issued. A high number on a percentage basis could mean that the stock will be meaningfully diluted in the future, potentially causing the share price to drop substantially.
6. Look at the cosmetic financial transactions like the reverse split and ask yourself: Did it help? Obviously not when the stock drops by 56% in just over 4 months after consolidation.
7. Is the board of directors involved? Is it effective? Or is it just for rubber stamping management egos?
8. If the findings are discouraging, will the company be threatened by insolvency or a hostile takeover by the debt holders?
Comment by
darkvving on Jan 31, 2022 10:38am
INVESTORS BEWARE OF THE PUMPER therealcandude , Portlandblazer and a couple more CHALF is rife with market manipulation, fraud, and chicanery scammers who want to get rich luring inexperienced investors into investing in worthless deadbeat micro and taking their money. Market is full of scams. Ignore the noise CHALF has been a huge losing gamble. A casino might have better odds.