Let's get to the facts.
@ConnerEx posted about this on 14/4/17
"The SP fall since the CR was announced is due to a large holder sell off..the holder has taken profits and allocated funds elsewhere and is now more comfortable with a smaller holding in NUH. The holder has some concerns as mentioned in my previous posts. There is
no major concerns with the company. The company's product has been and is being received well so that is good. Management has expressed positive announcements about future releases which go beyond the enhanced hearing attributes. I will continue to have a significant holding in the company and may increase further as things develope..so what I am doing is explaining the reason for the SP fall since the last CR."
"Let's not get too involved in it..40m units down to 22.5m....my basic concern was with ill timed and ill managed
CRs..nothing much can be done about that now..company needs more astute capital management ..reduced my exposure accordingly …still believe in the product and future success of the company… shareholders should never rest and give management a free run when they have under performed but over laddened themselves with
free options and good salaries and comfortable jet setting
lifestyles at the expense of ill informed
risk takers like us… those days are gone and social media (like HC) should expose the short comings…"
Further to this, based on his previous posts, I believe he is probably frustrated that management wasn't able to have enough stock available from early January.
"I posted this back in September...still holds true for me...I have never doubted the product. My concern is funding the production avalanche. The theme of that earlier post was to go head long and mass produce. The management was nearly 100% confident in September that certification was ok...my view was (and still is) have the stock available on the shelves to meet the demand at this very point in time we are now at. Hope they listened."
"I accept that they are genuine responses to the IQBud. The reaction to augmented hearing is the wow factor here that will propel production forward...my concern is that Flex may not be ready for abnormally large order intakes. Perhaps management should (or has done so already) have production plan meetings with Flex to prioritise the buds mass production...For the market to accept and clamour over the Buds and then have to wait 6 weeks or so will take the momentum away..lets have confidence now to mass produce , we have the funds ...don't wait for market reaction...the punt is now not later after the horse has bolted."
But overall I believe he is still in full agreement that NUH is a great investment. Here's a post from 11/3.
"I think you are probably right in everything you've said. There are obviously issues with getting the product to buyers but let's hang back on the criticism for a while. There are only a couple of companies in the world with this level of sophisticated hearing enhancement device and that speciality comes with teething pains. I personally am not interested in sales volumes up to June 2017 but very interested in guidance for 17/18 FY. The fact that independent and critical appraisal of the IQbud has been favourable makes me rest with my investment decision. NUH is a minnow at present in a ultra
competitive world and can't exercise too much muscle. I believe management has a handle on funding and product enhancement going forward. Most of the current investors are enjoying at least 40% gains over a short period. The initial survival hurdle has been cleared we must give management clear air to bed down the FLEX production issues. Don't forget the initial timing for certification and CES launch were negatively impacted by Chinese new year shutdown. Also difficulties in knowing what initial production volumes to run when enhancements must be on the way. In other words
we have just started so let's cool it!! The best thing we can all do is talk to at least one associate every day for the next 2 weeks and sell them a pair of buds. We have over 500 shareholders so let the next 2 week's HC posts be on how many buds you have sold to friends. We are on a good thing here."
Some other observations I have based on previous posts:
1. The form isn't entirely accurate as some of the days that 2.5-4 million units were sold didn't even have that much volume.
2. If just this one seller hasn't decided to reduce his exposure by 20 million plus units it is my very firm belief that the stock would be above 10 cents right now. So we have him to thank (and blame) for these ridiculously low prices!
3. The 8 cent CR was not entirely to two cornerstone investors. That's simply incorrect.
4. The HC market cap is actually 100% accurate for NUH (after it updates each night) and includes the escrowed shares which should definitely be included in any MC calculation.
(20min delay)