AVL should do a 10 to 1 consolidation prior to the next raise. I...

AVL should do a 10 to 1 consolidation prior to the next raise. I don’t think there would be any negative consequences to that.

I’m generally a reader, not a writer, here, but I cannot disagree enough with this strategy.

Most would agree that share pricing is all about perception in the short-run. My (albeit limited) experience, and what it has cost me, tells me that if the market sees AVL as a $0.01 share then a ten/one consolidate will set the price at $0.10 for only as long as it takes for the market to react and the share price will drift back to the ‘perceived’ value over a short period of time. By way of example, Sirius Resources (now bought out by other players) did this with a start of 3cents to 30 cents and back to 3 cents in a matter of weeks, if not days. I was there and it hurt. In the end the reality took over (as some may remember) but it took a while.

I’m a true believer, and have been here a while, however, if a consolidation were to happen I would sell fast at the revised price and wait patiently to buy back in using the same money to increase my stake by (probably) 6-8 times.

I hear the arguments re instos and low share prices but for us retail investors consolidation is a nuclear attack on value.

Please NO.