Free
Message: I was disappointed today!

Re: I was disappointed today!

posted on Feb 12, 2009 06:15AM

"What's wrong with a PR stating that Edig will be allocating some of it"s future revenues to buybacks and small dividends etc"

That's suicide for a penny stock. The reward is in the form of an appreciating stock price. Penny stocks have NO business issuing a dividend. Just look to ptsc for a prime example.

EDIG's priority is to hoard as much cash as possible and then use that capital, interest FREE capital I might add, to grow the company either by new eVU opportunities or via M&A activity and pay down their short term debt.

Use the capital to buy back shares and you end up at the same place we were before, undercapitalized and in need of cash....so issue more shares to get cash....not strategic by any means.

TAKE CARE OF BUSINESS and INCREASE REVENUE FLOW and the pps will be just fine.

Share
New Message
Please login to post a reply