For anyone that actually does research before investing in the stock market, it wouldn't take you long to realize CBAI's outstanding shares have been growing at an alarming rate.
In August the outstanding shares were:
2,611,087,327 as of Aug 10, 2009
In November the outstanding shares were:
4,568,253,327 as of November 9th, 2009
That is an almost 2 billion share increase in one quarter. Factor in the latest dilutive SEC filings and CBAI's outstanding shares are likely close to its almost 7 billion authorized.
No matter how you try to paint this pig, it still looks ugly. The business model can be pretty, but with the amount of shares that are being dumped, demand will not be enough to keep up with supply, and the stock will inevitably fall.
I'd like someone to explain to me how a company that almost doubles its outstanding shares in one quarter deserves a $100 million market cap. It defies logic.
Today's press release is vague. Just how did they retire the debt? They didn't say how. Are people just letting them have the money? I think not. It was likely converted into equity, meaning MORE dilution. The balance sheet might look better, the debt load may decrease, the company may have a bright future, but the amount of shares will continue to increase... and when you are a shareholder in the company more shares equals less of a stake in the company, which isnt' what you signed up for.
Cord Blood America Announces $1.35 Million Note Retired PR Newswire "US Press Releases "
LAS VEGAS , Jan. 6 /PRNewswire-FirstCall/ -- Cord Blood America, Inc. (OTC Bulletin Board: CBAI), the umbilical cord blood stem cell preservation company (http://www.cordblood-america.com ) focused on bringing the life saving potential of stem cells, a biological insurance policy, to families nationwide and internationally, today said that it has retired a $1.35 million note which had been provided by JMJ Financial in May of 2009.
"We finished 2009 as we proceeded throughout the year, succeeding in a major effort to reduce debt and strengthen our balance sheet," said Matthew Schissler , CEO and co-founder, Cord Blood America .  "The debt reduced, over $10.5 million , is the overwhelming majority we entered the year with and effectively all the debt available for retirement in 2009. We believe the minimal long term obligations left are immaterial in terms of standing in our way of future growth. This sets the table for 2010 to allow us to execute our three pillars of success: organic growth, acquisitions and diversification of our revenue stream."
About Cord Blood America
Cord Blood America (OTC Bulletin Board: CBAI) is the parent company of CorCell, which facilitates umbilical cord blood stem cell preservation for expectant parents and their children. Its mission is to be the most respected stem cell preservation company in the industry. Collected through a safe and non-invasive process, cord blood stem cells offer a powerful and potentially life-saving resource for treating a growing number of ailments, including cancer, leukemia, blood, and immune disorders. To find out more about Cord Blood America, Inc. (OTC Bulletin Board: CBAI), visit our website at www.corcell.com. For investor information, visit www.cordblood-america.com.
CONTACT: Paul Knopick E & E Communications 949/707-5365 pknopick@eandecommunications.com
Forward-Looking Statements
Some statements made in this press release are forward-looking statements, which are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. We use words such as "anticipate,'' "believe,'' "expect,'' "future,'' "intend,'' "plan,'' and similar expressions to identify forward-looking statements. These statements including those related to the growth of the industry, new stem cell treatments, and the Company's performance, are only predictions and are subject to certain risks, uncertainties and assumptions. Additional risks are identified and described in the Company's public filings with the Securities and Exchange Commission . Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company's past performance is not necessarily indicative of its future performance. The Company does not undertake, and the Company specifically disclaims any obligation to update any forward-looking statements to reflect occurrences, developments, events, or circumstances after the date of such statement.
SOURCE Cord Blood America, Inc.
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6 comments:
Yes, but you forgot to mention that the transfer agent was gagged in November - they won't say how much the o/s and a/s have increased - they only thing they tell you is they cannot say anymore due to the company requesting that. I thought that was public information????
A company can gag whoever for whatever reasons they choose in pink land. The stock is profitable for some, but they've drank too much kool aid to see its demise.
Kinda pissed me off when they said The Guru was basically a wanna be chump and that his site gives people malware/viruses after they read what he had to say.
very shortsighted as no consideration is given to the fact that cbai is in the forefront of what will fast become an extremely dynamic and profitable industry and the trading volume clearly supports the large amount o/s.
short sighted? Come back here in a week. CBAI will be sub penny. Thats how you lose money, not looking objectively at the information presented to you.
Hi Bob. Are you on twitter or Facebook? Do you blog anywhere else? Thank you for taking a different look at CBAI. The latest CEO videos are on www.stocknewsrooms.com
No twitter or Facebook.
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