Forum Home | Log in | Signup | My Page | Rules | FAQ | Boards | Members | Search
« ALEA Home | Email msg. | Reply to msg. | Post new | Board info. Previous | Home | Next

Re: Wave's revenue forecast

By: Cactus Flower in ALEA | Recommend this post (0)
Thu, 03 May 12 6:52 PM | 47 view(s)
Boardmark this board | The Trust Matrix 		Msg. 07526 of 54959
(This msg. is a reply to 07524 by DigSpace)
Jump:
Jump to board:
Jump to msg. #

Hi dig,

I agree.

I think that a sensible analysis of Wave as a stock involves competition between two key forces: first, worries about insolvency; second, excitement about the opportunity.

The cash flow is one function of Wave's progress by which you can see how this competition is working out in black and red. When the cash position is weak, people worry. When the treasury is full, investors dream their megadreams.

Of course, it isn't always cause and effect. The cash in 2000 was raised as an effect of the price running up, rather than vice versa. The reason for that had less to do with Wave than the crazy marketplace.


- - - - -
View Replies (1) »



» You can also:
- - - - -
The above is a reply to the following message:
Re: Wave's revenue forecast
By: DigSpace in ALEA
Thu, 03 May 12 6:34 PM 		Msg. 07524 of 54959

For a time the rates related rates were favorable. Such is not the case now.

For all the posturing re:SP, dilution, getting it, etc. , if one graphs SP against cash in treasury since inception, it is rather striking. Similarly if one graphs SP vs cash-flow over the more recent years, they see the same thing.

So while bean counting is scoffed at, it nails share price withing a few pennies when related to cash-flow or cash-on-hand within a remarkable small deviation.

True, these cash-changes correspond to note worthy thingys like GM, so one could argue it is GM, but as the GM cash peters out the SP marches in lock-step. .
Smaller deals that improve cash-flow generate plateaus or rallies depending on their magnitude.

While this is generally a duh moment, the strength of the correlation was something I previously under observed. I will allow it to better direct my exposure going forward.

« ALEA Home | Email msg. | Reply to msg. | Post new | Board info. Previous | Home | Next