Datametrex AI Ltd V.DM

Don't understand

[MLorenzo]

Why there are always so many people against a share buyback.
Buybacks are best practice for every great company, and it makes so much sense for DM because:

1. send bullish signal to market
2. Company makes statement that shares are undervalued, so they are buying their own stock
3. Takes stocks out of weak hands
4. Can buy back 10% annually, so 30 million shares. This means that there would be an extra 300K shares on the buy side for 100 trading days of the year, bullish.
5. If everyone belives the stock is worth 50cents to $1, where better to put the companies $ than an investment that can appreciate by 100-400%

I believe that at the very least evreyone should be pushing the company to implement a buyback program, as this gives the company the option to buy, but doesn't force them to buy any shares or all 10% of the program.

Can anyone explain the counterside as to why it is in the shareholders interest to not buy back shares at this price, especially with the comany generating so. much cash?

[Aiking]

Also I'm against a sharebuyback, because I want to see natural and sutainable growth. As I have years to wait for DM growth, I want to see the company spend its cash wisely. Wisely would be to buy another very good Ai company that fits DM needs very well (e.g. Ai EV charging/infrastructure specialists, Ai fintech programers, or Ai based audio, image, video analitics specialists, or higher some

[YourMaker]

DM may be undervalued, but its not trading below book - am mixed about a buyback. I'm okay with the current share structure, the buyback would get rid of some volatilty and form a more solid floor, but won't do much for price appreciation in the short-medium term as this is a growth, not a value play.

[MLorenzo]

A word of caution Price to book is useful only for evaluating certain types of businesses. If most of a business's assets are intangible -- as is the case with many technology companies -- its price to book may be unhelpfully high. Software giant Microsoft, for example, trades for more than 10 times its book value. On the other hand, price to book can be useful for capital-intensive

[MLorenzo]

Stock is part of treasury, as is cash. If the company can buy shares today @ $0.25, then issues shares at $1 in the future to aquire a company, it will be far more attractive to shareholders. Stock IS currency for the corporation, many use stock to M&A.   There NEEDS to be a change in the supply and/or demand of DMs stockfor it to appreciate. A buyback would solve a problem for the

[PercySweetwater]

Suppose DM took 20% of their cash-on-hand, let's call it $2.5m just for example, and bought back 10m shares. This would drop the float from 355m shares to 345 m shares. This reduction would have a negligible impact (if any at all) on the sp. DM is still an early stage company, and I would much rather they retain the flexibility that having cash on hand provides than some intangible impact on

[MLorenzo]

I'm not sure the exact number, but i'll spin it another way. $2.5 million is only 10-20% of their incremental cash for 2022, so their net cash will still substantially increase this coming year if they do a buyback. ...and the 10 million share retirement would be from 'weak' hands. So if 100 million shares are in short term traders/flippers then the company would be retiring 10

[rollthedice10]

I think you both have good points but I tend to lean toward cash on hand. Helpful in aquisitions! 

[PercySweetwater]

This board, and others like it, are a valuable resource for investors. Various ideas are presented and attacked/defended, providing new/potential investors with a wide range of information. Hopefully the bashers and pumpers are obvious (and suitably chastised by the regular contributors). GLTA!

[fearlessggg1962]

I would side to no share buyback. First of all, DM is a microcap and as I mentioned today, it is a show me story. There are plenty of large investors sitting on the sideline and waiting to see real execution from the DM team, when the company will start delivering real results that can be measured for the long term then the big money will start coming in and we will see plenty of share price

[LOLROFLMAO]

I believe DM is not planning to buyback shares any time soon!!! Jan 7, 2022 - Datametrex Announces $1.15M Purchase Orders from Samsung and Lotte "Datametrex continues to execute on its land and expand strategy with increasing sales with long term clients such as Samsung and LOTTE," said Marshall Gunter, CEO of Datametrex." The 'Land & Expand' approach has been the