So, if everything is great for this company, then why is it...

First 22 Last

Share
Profile

Follow
shail151

301 Posts.

17

10/05/22

14:09

Post #: 61316639
Share

Originally posted by Tian8824: ↑

I Never said that was the bottom. No one can predict the bottom. But the following 2 points ring true for all time:

1. The lower the stock price goes, the lower the supply at least in monetary terms just because it is cheaper per share. Also naturally there are both less willing and available sellers AND more willing buyers.

2. There is a fundamental bottom to a stock price. It’s not infinite. It’s either 1x loss if you are a pessimist living in fear. Or more realistically, you look at OSP’s EV/Revenue ratio. It’s only 2 LOL. On top of this, it’s a company selling products with a 300% mark up. On top of this, the only real problem the company faces is excess wage burn. Reduce staff. Simple. It’s not like they are doing a lot or creating alot of value.

When you have a low EV/Revenue, excess wage is the best problem you can have bc it’s easier to rectify than increasing profit margins or increasing revenue when there is market dominance or penetration. It’s EV to revenue is THIS low despite it having almost terminal low values of revenue for a product with its international product reach

3. Finally, there is usually a premium attached to medical companies with good potential. An even bigger premium to medical companies with big potential. Even if you are a candy store. If the business profit p.a is more than the cost of the business it self, it diesn’t make sense. In that case you can score a free identical business a year indefinitely and increase your profits every year by 100% compounding your indefinitely. Then every year, not only are you scoring a free busn, your getting free savings income of the same amount that is doubling each year too LOL

Expand

So, if everything is great for this company, then why is it sliding down everyday? Where are your so-called willing buyers?
Why does the company have to go into suspension for 1 month to look out for money? They know that they will not get funding even with a cap raise.
EV/Revenue ratio is 2, but what is the revenue/operating cost ratio?

A company paying 2 quarters of its revenue to the CEO only will never survive in long run and the management had a blind eye to this.

OSP Price at posting: 20.0¢ Sentiment: Sell Disclosure: Not Held
1 Upvote

0 Great analysis

Reply