The company doesn't have the balance sheet to support the sales...

  1. 32 Posts.
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    The company doesn't have the balance sheet to support the sales growth potential of China - let alone other opportunities in Asia. Is this a good thing or a bad thing? Rational investors LOVE this type of situation - they are very rare.

    The key to realising a fair market valuation is approaching break even on current base of revenue trajectory - which will be the trigger to access market rates of equity and or debt - when mkt rates of risk capital become available the comapny should raise capital and invest in growth in order to increase the growth trajectory and size of pie - that is what the company should be doing to maximise shareholder value.

    The only prblem the company has is the 40% of shareholders numbering 2-3 thousand who are a mixture of day traders/dreamers and longer term holders looking to exit -this means that effectively 40% of the company is an overhang which drags the share price down....

    Of course - there are fixes for this and I hope the company in due course acts decisively to do so - because the biggest drag on a higher share price is the type of person who posts on here and gives oxygen to agendas from people like our 'merican' ' friend' - who has his own agenda.

    It isnt an accident he has avoided each and every invitation I have given him for rational discourse- all he is intereted in doing is venting behind a veneer of care - sans any sjkin in the game of course like all the negative posters. To an 'merican' anyone who hasa a brain mut be a lawyer - that is the type of person9s) who they bow down to over there - gotta love the " Septics" - dont ya?

    boo yaa !


 
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