Transense Technologies Share Discussion Threads

[greedfear] 22/9/2016 17:57

Going to vote against consolidation. Turns against investors 90% of the time. Directors love it though, it kind of covers up an abominable share price performance and it's cooler to be a director of a listed company not acting in the penny share league.
It's not for "us" it's purely for "them".
If they take good care of the business the share price takes care of itself.

[glavey] 22/9/2016 17:56

Sojourno,
Thanks - I did already and got the same result.
Seems it's a browser issue... switched to another PC.

Can't say it was convincing in respect of the consolidation proposal (I don't recall a 50% spread, but it would be a reflection of perceived risk, as the share price in the moment). Institutional investors don't trade on the edge of the spread, nor HNWIs. Even the majority of RSP trades are well within the spread. If the 'magic' doesn't fool the market into thinking it's likely to be investable at, say, 110p share price (roughly where we are today 50:1) with an 11m market cap. then I don't think they will be at all convinced with a 5m market cap. and a 50p s/p. But looking on the bright side with 'good magic', having bought in at 110p, what might be the exit target? 160p? 200p?

I'm guessing most people here are significantly under water. What might your break-even be (pre-consolidation), 4p, 5p, 7p, 10p? It's for each to do the maths as to where they would need to be post a 50:1 consolidation in order to exit in comfort. Then, to paraphrase Clint Eastwood, perhaps ask youself, "do you feel lucky?"

I'll wager few here expected this to become a LTBH when they first dipped a toe...

[sojourno] 22/9/2016 16:55

Glavey... Try:-

...which is the URL bit.ly links to.

[glavey] 22/9/2016 15:52

Major C,

The O/P refered to shareholders in the plural, not a single individual's preference.

The shareholders are the company.

[glavey] 22/9/2016 15:45

DT,



Hmmm, It says "Sorry, this video does not exist" for me.

And it's not on the page list of Directors Talk CEO interviews either.

[glavey] 22/9/2016 15:39

gnnmartin,
"The board think there are a number of institutions and wealthy individuals who will just not touch penny shares, so a share price above 50p could help pull in more investors. Consolidation is likely to reduce the spread too, which will help encourage buyers."

Look back and you will see TRT wasn't always a 'penny share'. In fact it's only become one relatively recently in its history. By the same 'board logic' that suggests the institutions and wealthy investors all sold down and left, doesn't it? Even assuming a consolidation would attract them back, that could repeat (unless TRT can create some significant and consistant y/y growth and I don't think we are there yet).

Consolidation does not reduce the spread; traded volume (liquidity) and risk factor does.

[major courtenay] 22/9/2016 15:18

Glavey, a particular individual shareholder may want dividends paid immediately. The company may wish to conserve cash, or employ that cash elsewhere which is a greater benefit for the company than for the individual shareholder.

[dieseltaylor] 22/9/2016 15:18

Excellent stuff and answers the size of the reduction

Works for me no problem. Mind I did turn my blocker off which I routinely keep on blocking adverts etc.

P.S
Glavey I cannot help being far-sighted : ) Some people leach and some people invest . End of.

[glavey] 22/9/2016 15:09

DT,
"Secondly, I have always believed that what is good for the company is not necessarily good for individual shareholders."

Sorry, but I'm having a job to believe anyone could write that, let alone condone or encourage it.

A very peculiar investing strategy, IMHO.

[glavey] 22/9/2016 14:44

vaguenotion,
"the share price is a function of the market cap, which is (largely) determined by the level of profitability, or in the case of tech stocks, anticipated future revenue growth. Whether the share price is 1p or 100p is largely irrelevant."

I am reminded of the following adage:
In theory there is no difference between theory and practice. In practice there is.

[gary38] 22/9/2016 14:37

VagueThis is no Tesla by a long shot.

[glavey] 22/9/2016 14:34

That interview referred to earlier here seems to have vanished. Anyone aware why?


timbo003
22 Sep '16 - 07:58 - 8694 of 8706

New CEO interview on Directors talk

[vaguenotion] 22/9/2016 14:27

gary38, the share price is a function of the market cap, which is (largely) determined by the level of profitability, or in the case of tech stocks, anticipated future revenue growth. Whether the share price is 1p or 100p is largely irrelevant. As an example, I paid $30 a piece for my Tesla shares, but they're now $200+

Pleased to hear cantata was there - thought he'd been forced out, so that's good

[gary38] 22/9/2016 13:10

I brought at 8.4p can you truly see this going to £4 /£5 or see it likely to go to 50p after 50:1 change.

[drw1] 22/9/2016 12:11

Interesting presentation last night.Good to see some of the old faces are still around.
Future looks brighter with prospects more diversified and solidly based than at any time in the past.
1.More convinced than ever that our IP has a value considerably above the markets current judgement and that more importantly there is a realistic chance of unlocking it faster especially given GE and Emmerson precedent.
2.Itrack 2 is obviously a well thought out product and should prove very successful hopefully helped by an improving climate in the commodities market.
3.Probes look a solid earner and appparent potential in the passenger car market.
4. Cash flow break even now looks a real possibility with profitability not far behind.
Excited for this year.

[albert_einstein] 22/9/2016 11:39

Lord G is a little hysterical in his posting but he does raise some good points.

If management win contracts and make viable progress then the share price will look after itself. Just look at the recent rise.

The shares are illiquid but that's a consequence of mismanagement mixed with a dollop of bad luck. As some have pointed out it is much easier to multibag from a penny level than it is from a £.

[gary38] 22/9/2016 10:40

Totalling agree Lord Gary

[lfc4ever] 22/9/2016 10:35

The usual balanced view.

[puffintickler] 22/9/2016 08:52

I have had two recent experiences of share consolidation.


Pure Wafer PUR
1 nov 2013: 1 for 10 gave a price of 83p. The business has now been sold giving a total return of about 188p to shareholders.

Galliford Try GFRD
1 may 2009: 1 for 5 gave price of 278. They are today 1315.


These turned out to be my two biggest profit shares in 20 years of serious investing.


That does not mean I think share consolidations are a good thing for the share price but they certainly did no harm here! The GFRD one turned out to be a waste of time though (I thought so at the time in fact) because the increase in value of the business now means they should now do a share split.


One should always be suspicious of the motives behind such a move. I don't see any problems here though.

[gnnmartin] 22/9/2016 08:20

Some discussion of the consolidation at the meeting, but not of the ratio. I agree that you have to trust the board, and anyhow I see this as having very little significance. The board think there are a number of institutions and wealthy individuals who will just not touch penny shares, so a share price above 50p could help pull in more investors. Consolidation is likely to reduce the spread too, which will help encourage buyers.

One strong critic at the meeting said that it would be harder to get the shares to double from 100p than from 2p. To the extent that this is true, it reflects the fact that penny shares are more volatile. It is also easier to get the shares to halve at 2p than at 100p.

Overall, I don't much care one way or the other. In the medium term, the company's earnings are going to dictate the share price.

[bad gateway] 22/9/2016 08:20

Thanks diesel thats what I thought but wanted views from those that know management better than I.