I have been in few consolidation in the past and I had bad experience. Those company are not comparable with PM8 but I can see some possible scenarios that could decrease my risk/rewards ratio. Just the fact that with the consolidation I would miss the eventual trasition from the sub 0.10c to the above 10c when my position would shift from example from $100 dollars per pip to $1,000 per point once above 10c it's a big cut of my risk/reword and the possibility that the SP will eventually fall back behind 10c definitely increase the risk. This is only my view and I believe that many will strongly disagreed because they have a strong believe in the company. I am just managing my risk, after all we all different risk management parameter. I might be wrong or wright, but the only way to be successful in the market it's by managing the risk and not trying to be wrong or wright. the stock it very liquid you can buy and sell any time you like.
To answer your second line, the share price of a company is irrelevant what it matter is the market capitalisation, but there is not doubt that a new investor would see a stock with less SOI with better eyes the one with SOI above to Billion mark.
PM8 Price at posting:
2.4¢ Sentiment: None Disclosure: Not Held
