Aiming to become the global leader in chip-scale photonic solutions by deploying Optical Interposer technology to enable the seamless integration of electronics and photonics for a broad range of vertical market applications

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Message: First Week on the NASDAQ-CM

General thoughts from a investor:

POET uplists via direct listing. This increases liquidity with no new shares/dilution, no underwriters (investment bankers), no chance for underwriters clients to get the first look and inflate the price before retail can trade. 

Direct listings often allow insiders more liquidity to dump shares immediately. Direct listings are more volatile than IPOs.

  • TM purchased shares before the listing.
  • The R/S was expedited and the listing came during a major economic downturn of the NASDAQ and money is flowing out with many worried retailer investors.
  • Companies often list via IPO to raise capital.
  • TM mentioned that financing was not going to happen until later.
  • There are no revenue projections.

Without revenue projections POET is not in a position of strength as they do not have an established brand behind their name. 

Comments:

  • This stock was shorted many times and a large debut without revenue would have attracted long term short sellers.
  • Most PR as of date are not aimed toward retail investors.
  • Initial revenue projections will have a deeper impact on the NASDAQ. The company understands this and has stated during the proxy vote.
  • The R/S and listing may have been expedited as the company predicts revenue sooner than later. 
  • Insitutional investors do not act on emotion but retailers do. Confidence is shown with the existing shareholders as there was no sell-off. 
  • POET is in a strong position to mature a platform considering what they offer, however, they lack social branding/validation without being tied into a large established name. 

Thoughts, opinions and predictions from all are welcomed. 

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