Another Q: if they succeed in chapter 11 proceedings will the share count be impacted? If I bought 100 shares today @$2 but once re-org happens I am left with 3 shares then it will be a losing game?
Will the share count be impacted? yes, big time. NewCo will issue new shares. Lets say there are 100 total shares in the newCo, only 3-5 will be owned by current investors. All of the existing shares will be converted into these new 3-5 shares. So yes, major dilution. That's why the stock was down 99% from peak.
There is definitely an opportunity here, but upon researching the difference here:
1. WOLF was never a good executor compared to the other two examples here. Also, there is a lot of competition vs almost no competition for RR and Carvana
2. Huge capacity coming online from competitors, and also huge pressure from China(Tariff can help here)
3. They started shipping Sic in 2023, but still not huge growth
I am not able to attach a screenshot, but will share notes here
Another Q: if they succeed in chapter 11 proceedings will the share count be impacted? If I bought 100 shares today @$2 but once re-org happens I am left with 3 shares then it will be a losing game?
Will the share count be impacted? yes, big time. NewCo will issue new shares. Lets say there are 100 total shares in the newCo, only 3-5 will be owned by current investors. All of the existing shares will be converted into these new 3-5 shares. So yes, major dilution. That's why the stock was down 99% from peak.
There is definitely an opportunity here, but upon researching the difference here:
1. WOLF was never a good executor compared to the other two examples here. Also, there is a lot of competition vs almost no competition for RR and Carvana
2. Huge capacity coming online from competitors, and also huge pressure from China(Tariff can help here)
3. They started shipping Sic in 2023, but still not huge growth
I am not able to attach a screenshot, but will share notes here
https://www.perplexity.ai/search/can-you-give-me-a-table-of-sum-rMYKJKq9RpiO4OYyLIgxnQ#4