My plan was to trade the dead cat bounces on a negative announcement, but the company scuttled that one by announcing before the open. Last time it was a shocker I was able to preserve my capital through the crash by doing that. Not this time.
Now my plan is to escape at my break-even of 10.5c and make enquiries about whether legal action is a viable option after the misleading and deceptive quarterly report. I might be back to invite expressions of interest in a class action. Otherwise I'm done with ResApp.
This is strike three for management from my perspective. They're out.
I don't think ResApp is dead by a long shot, but I see a long, slow haul to commercialisation. If the FDA want information that can be obtained without a clinical trial then I think FDA approval might come early in 2021. If there's going to be another clinical trial then they're probably looking at some time in 2022. In the meantime management will be looking to commercialise ResAppDx in jurisdictions where they have approval (Australia and Europe, primarily). There's also the sleep apnea product to develop. Those options should support a price in the teens (of cents) rather than below 10c like last time.
But does anybody believe that this management team can successfully commercialise what they have? I certainly don't. I see them as a bunch of complete numpties with questionable capabilities and questionable integrity.
RAP Price at posting:
7.8¢ Sentiment: Hold Disclosure: Held
