Explained multiple times, you say?
So much so that the number of mentions of "capital raise" on the DW8 forum has skyrocketed since I mentioned it.
The last time I saw this many mentions of capital raise here there was a raise a couple of week later. Everyone here knows exactly what's going on, some just want to believe something else.
I've also seen quite a few people talk about the progress made over the last x months or years. What people need to remember is that there is a cost to progress. Sure they have grown sale or customers, expanded distribution channels etc. But what has been the cost? It's not the cost to them that we should be worried about, but the cost to holders, by way of dilution and spend. Value creation has been at the business level, value destruction at the shareholder level. The destruction of value has been enormous too, and that I believe is reflected fairly in the share price (note: it's NOT measured by the market cap). Just look at the share capital base from a couple of years ago - it was about 1.1b of shares on issue, now it's over 2.6bn.
Just an interesting point. The last time the cash balance was around this level ($7m in June 2021 quarter) it raised $15m shortly after ($6m of which went into Kaddy).
The most recent quarter also the balance has now dwindled to $7m cash - danger zone ! - Oh and all that raised cash is gone, along with the warehouse sales proceeds which was quite a bit of an injection. So where did it get shareholders? Well, now it most recently burned $3m in the last quarter, vs only $1.5m in the June 2021 quarter. Going backwards, not forwards it seems.
If you're relatively new to investing overall, and you're wondering how you got suckered into this shambles, the reason why is because posts like this gets 0 or 1 great analysis lightbulbs at best, and others' posts about how DW8's price is merely moving to the swings in the S&P 500 P/E ratio gets 10 (what a clown show).
It's the mindset, man!
Expand
(20min delay)