Ann: DroneShield Assigned with NATO Stock Numbers, page-34

W1lson is copping a little bit of heat for his comments here but although he/she is a little cynical, that does not make him/her wrong. Unprofitable tech companies often use announcements to the market for advertising spin as they hope to keep their share prices up for the next capital raising.

Although, I purchased stock for the first time a couple of days ago, this announcement is blue sky and appeals to tattslotto players. There are no sales attached to it and it is borderline to whether this is market sensitive. There are commenters who point to a rise in the share price as evidence that it is price sensitive, but that is debatable as today is a strong day for the market and it remains to be seen whether the price increase will stick.

I think the comments around the capital raising are also harsh. Companies that grow much faster than 20% p.a. need cash to fund their growth and run the risk of destroying a company with potential with a cashflow crisis. The capital was raised at a good price and gives the company stability and investors certainty as it grows. They took the chance to take more than the market was expecting because they had the takers to do so and knew they were going to have growing pains.

W1lson is worth paying attention to. He is right to look at hard results, not vague possibilities.