What does the first settlement mean to investors?
posted on
Aug 17, 2008 02:06PM
EDIG reported a net loss of $1.7 million last year.
Considering the over $20 Billion annual target market for just the initial 10 of the over 174 infringers already identified, settlements above the million dollar level will make significant contributions to EDIG's balance sheet.
But who here thinks DM is in this for merely a $1 million settlement in round one?
Start ratcheting up those numbers to $10 million settlements and EDIG becomes a completely different company than the "under financed" otcbb we have come to know.
That's why investors are HERE, that's why DM jumped onboard on a contingency basis, and that's why it was well worth it for management to do whatever it took to keep the company viable.
Any day we could wake up to news of a settlement or more infringers being named to allow us to further extrapolate EDIG's growth curve.
As miserable as some quarters have turned out over the years, the viability of the patents remains EDIG's reality, and never before have investors been this close to a verdict, one way or the other.
Settlements ranging from $5 million to $20 million over the next year or two turns the pps extremely positive from these levels.
Investor sentiment, which drives pps, will once again turn positive when expectations are met.
One year ago we had no infringers named. Today we have 8 and counting....you have to like where this is headed.
VIVITAR, AVID ELECTRONICS, CASIO AMERICA, LG ELECTRONICS USA, NIKON, OLYMPUS AMERICA, SAMSUNG ELECTRONICS AMERICA AND SANYO NORTH AMERICA...