Since this is an anything goes thread, right (?), ....here goes me throwing a grenade.
Brainchip is on the fast track to a mind boggling amount of shares on issue, and I can foresee the company in the not too distant future having two BILLION shares issued. This is nothing short of mind blowing to contemplate for our small (micro???) cap company producing small amounts of early stage revenue, but contemplate we must because it seems to be coming.
Targets and goals are being met = more shares distributed to those achieving them.
More good people being brought on = more shares for options and incentives.
And any future capital raises are dilutive as well.
Start up's and / or early development companies really have not a lot of options for attracting quality talent to help build or build out the company = more shares for achieving growth and retaining such talent.
I don't know about Perth standard of living, but living and housing costs in southern California ain't cheap. What some of our executives are being paid in salary dollars is a steal, in my opinion. You have to make working at Brainchip attractive if you expect to get and retain high calibre employees and throwing shares at them is a good alternative to hard cash if your story reads well and I believe our story reads well.
So, really, what choice does Brainchip have??? Yet, I believe management and the board will eventually have to face this dilemma. How they will do it is too hard for me to contemplate (above my pay grade).
But I think the amount of shares sloshing about is creating more incentive and opportunity for shorters, for example, but I'm just speculating here.
I think the amount of shares makes appreciation of our BRN 65 cent (+/-) stock price more difficult with 100,000,000 + volume days necessary to really light a fire under it and get it moving northward (think Mercedes announcement time in early 2022).
I have been ruminating on this amount of shares on issue for some time, actually since I started following Brainchip. I remember two distinct reactions I had back then. One reaction was "wow", when I learned what it is they were doing and how their future success could be significant. The other reaction was "whoa" when I discovered how many shares this tiny startup had on issue.
Of course the above is my own opinion and no recommendations are given or implied, one way or the other. I love my investment in the company. I am just concerned and puzzled about this vexing matter. Is it Good, is it Bad or is it Fugly .... I have no idea, but it is a general concern.
Regards, dippY
Brainchip is on the fast track to a mind boggling amount of shares on issue, and I can foresee the company in the not too distant future having two BILLION shares issued. This is nothing short of mind blowing to contemplate for our small (micro???) cap company producing small amounts of early stage revenue, but contemplate we must because it seems to be coming.
Targets and goals are being met = more shares distributed to those achieving them.
More good people being brought on = more shares for options and incentives.
And any future capital raises are dilutive as well.
Start up's and / or early development companies really have not a lot of options for attracting quality talent to help build or build out the company = more shares for achieving growth and retaining such talent.
I don't know about Perth standard of living, but living and housing costs in southern California ain't cheap. What some of our executives are being paid in salary dollars is a steal, in my opinion. You have to make working at Brainchip attractive if you expect to get and retain high calibre employees and throwing shares at them is a good alternative to hard cash if your story reads well and I believe our story reads well.
So, really, what choice does Brainchip have??? Yet, I believe management and the board will eventually have to face this dilemma. How they will do it is too hard for me to contemplate (above my pay grade).
But I think the amount of shares sloshing about is creating more incentive and opportunity for shorters, for example, but I'm just speculating here.
I think the amount of shares makes appreciation of our BRN 65 cent (+/-) stock price more difficult with 100,000,000 + volume days necessary to really light a fire under it and get it moving northward (think Mercedes announcement time in early 2022).
I have been ruminating on this amount of shares on issue for some time, actually since I started following Brainchip. I remember two distinct reactions I had back then. One reaction was "wow", when I learned what it is they were doing and how their future success could be significant. The other reaction was "whoa" when I discovered how many shares this tiny startup had on issue.
Of course the above is my own opinion and no recommendations are given or implied, one way or the other. I love my investment in the company. I am just concerned and puzzled about this vexing matter. Is it Good, is it Bad or is it Fugly .... I have no idea, but it is a general concern.
Regards, dippY