Lonnie Starr

Lonnie Starr
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  • Golden Edge Entertainment: Why It's Going To Zero  [View article]
    Keep up the good work, great article, I always enjoy reading your articles and have a hope that penny investors will learn the bad actors, groups, performers and that alone will help divide the wheat from the chaff in the penny market.

    Make no mistake, there are good pennies or quads out there, that are real businesses and are really trying to give you an honest run for your money. The fact that some do succeed, is what keeps interest in this market alive.

    The trouble is, there are a lot of investors who eschew doing the hard work of dd'ing companies, about which little info is available. So, while dreaming of pies in the sky, they simply pick up a mailer or rely on tips, plunk down their money and hope. Usually scammers arrange to have a fraud become a fast moving stock, leaving the investor little time to think. In reality success doesn't happen so fast, but comes over the long term, so, as a general rule, if you have to rush to get in, it probably is better to stay out.

    Be sure to thank PSR for his great articles.
    Aug 12, 2015. 08:44 AM | Likes Like |Link to Comment
  • EMS Find Inc: Why This Promoted $56 Million Company Could Drop 70%+  [View article]
    Many will ask "why does the gov't allow these scams to operate?" The answer is nothing nefarious, the gov't simply must be careful how they regulate the markets, because they could easily destroy the markets ability to function, by creating too much fear in investors, or by being overly draconian in formulating regulations, that legitimate start ups would be too shy to pursue capital formation.

    Right now, the SEC is working on finding and shutting down, those scammers who have left a very obvious trail of selling stock, reverse splitting it, then issuing new shares and selling again. But even this process is fraught with difficulties, since none of the actors will confess, they will instead take refuge in "safe harbor" and claim "market forces" as the reason for failure (among other reasons).

    Therefore you have be suspicious of any otc or pink sheet stock that doesn't make regular SEC filings. You need to suspect any company that has no cash, no plant, a "home office" and no assets, as well as no infrastructure to align with their grandiose plans. Keep your money in your pocket until you learn something critical about an enterprise from trusted sources, judge anything else to be unworthy of your investment. Remember always, the power is still on the side of the scammers, who can hide behind a myriad of laws, regulations and rules, designed to help legitimate companies get started, using the capital formation abilities of the open market. Regulating the market and eliminating the scammers is no easy task, and there is no automatic method of detecting a fraud from a legitimate company that's really trying to do something good.

    So, you have to rely on commonsense and due diligence. Of course, while this means that you're going to miss out on some very good investment opportunities, it also means that you'll probably avoid far more scams.

    Most penny investors are simply looking for companies that, win, lose or draw, will give them an honest run for their money. Unfortunately there are a lot of scammers who know this, and want to appear to be just that kind of entity.

    As Pennystockrealist points out, companies that focus, first and foremost on the price of their shares, the volume of trading and have huge amounts of stock ready for sale, spending more on promotion than "plant" or operations, you can be almost certain that such a company is not where your money should be.
    Jun 17, 2015. 12:42 PM | 1 Like Like |Link to Comment
  • 3-D Printing Moves To 'Terminator 2' Technology, Creating New Leadership  [View article]
    It certainly sounds like a great new technology break through. That is, until one gets a few minutes to think about a couple of things, we've learned about 3D printing over the years. One thing that hit me right off is the statement about oxygen hardening the resin. Meaning that this tech is only applicable to plastic printing, and probably only one form of it as well.

    Unfortunately the market has moved, quite some time ago, over to metal printing, that's what is in demand now, and it's what cause 3DS to fall behind in it's deliveries because they simply didn't have enough metals capacity to handle the shifting demand. Oh well, back to the drawing board as they say, I'll stick with 3DS for a while longer. But thanks for the heads up anyway.
    Apr 22, 2015. 01:03 PM | 2 Likes Like |Link to Comment
  • Canalys: 3D printing industry to grow 56% in 2015, reach $20.2B by 2019  [View news story]
    I've been wondering for some time now why they haven't provided glass printers. Glass should be very easy, of course, there are many formulations, thermal, shatterproof and such. But the hobbyist, artist and home user would probably be more inclined to buy and use a glass printer, since hardly anyone wants or needs a 1500 degree kiln in the home, office or garage. Yet there are so many useful things that are made of glass, it's hard to see why glass hasn't been attacked as yet.
    Apr 19, 2015. 08:19 AM | 2 Likes Like |Link to Comment
  • eCrypt Technologies: Why It's Going To Zero  [View article]
    Hahaha... anyone who doubts that this is a pump 'n dump scam should do a really deep dd before putting any money into it. Otherwise stand clear! PSR is doing a real public service, I hate reading boards where people lament losing their hard earned cash, and stick around hoping and praying that the company will recover somehow after the expected crash comes. Also we have a slew of now pro active regulators who won't accept filings without documentation and proof, so you probably won't hear back from the company, after the selling begins and the insiders finish dumping their shares.
    Dec 10, 2014. 01:54 PM | 1 Like Like |Link to Comment
  • Why I Am Convinced IFAN Financial Is Going To Zero  [View article]
    It's not them, themselves, of which I speak. The problem is the one facing the SEC in their general prosecution of their mission. Until they have policies honed to a sharp enough edge, they can't simply race forward with actions.

    I see and hear all the time, investors wishing this or that fraud be challenged, shuttered and the ministers sent off to jail. But the market confidence that the SEC must work to preserve, needs to have a clear pathway between the deserving repudiation and those undeserving who are merely trying and failing. They cannot simply crash through the china shop like a bull, since that would hurt everyone. Consequently these things take time and careful consideration.
    Dec 1, 2014. 10:43 AM | Likes Like |Link to Comment
  • Why I Am Convinced IFAN Financial Is Going To Zero  [View article]
    As an investor you have only to consider how you believe the facts add up. As a regulator, however, the SEC has to consider whether or not what's here will hold up in a court of law. Just imagine the political fallout they'd face if they took an action without clear and convincing evidence and lost.

    There are many "escape hatches" woven into this data, which the perps have no doubt crafted to be used. Thus this all boils down to a case where, all they have to say is "I was gonna..." to refute the claims that might be made against them.

    As an investor the question to constantly ask is: "If you were gonna... Then why haven't you?" The usual answer is, because there wasn't any need to perform, because the stock is selling just fine.
    Nov 30, 2014. 05:46 AM | Likes Like |Link to Comment
  • Makism 3D Corp. - Why This $75 Million Company Could Drop By 75% Or More  [View article]
    I have not unleashed vitriol on anyone who questioned me about 3D Printing. Only on those who use flawed info or reasoning. MDDD managed to come back from the suspension, however the price is rather low. Since they'll only be using plastic while the market has moved to metals, if they do get going they've got a very long haul that will require lots of cash to do research or M&A. I don't think there's much to hope for here. PSR was right in the end.
    Nov 20, 2014. 01:20 PM | 1 Like Like |Link to Comment
  • Whitney Tilson's Kase Capital Boosts Stake In Struggling SodaStream: Opportunity?  [View article]
    TTo me this seems more like an "Enron" maneuver, keep the shareholders holding while the big boys make their exit. But hey, that's just me.
    Nov 17, 2014. 02:12 PM | 2 Likes Like |Link to Comment
  • Why I Am Convinced IFAN Financial Is Going To Zero  [View article]
    One has to be even more careful than years ago, when investing in pennies. Years ago cash account holders could day trade to their hearts content and take advantage of intraday gains, today they can't do that, you must have a margin account to day trade otherwise you're stuck with any purchase for at least 3 days.
    Also we have a more pro-active SEC, which does many more suspensions than ever before, you really don't want to get caught with a stock that gets suspended, it's a nail biting episode that goes on for months and usually ends in disaster.

    If ever Pennystock Realist were needed, that time is now! It's really hard to find a penny with good management that is really trying to become a successful company. So it's good to have someone around taking the bad guys out of the way.
    Nov 14, 2014. 10:46 AM | 1 Like Like |Link to Comment
  • Why I Am Convinced IFAN Financial Is Going To Zero  [View article]
    Yep, we see these pump and dump schemers around all the time, unless you're totally "blind" you don't see them coming, as a general rule though, it takes very little dd to reveal them. This was a huge and marvelous effort/undertaking that will hopefully save some investors money, but I think that many will still fall for the yoke anyway. I've seen on the comments section of one of your other articles, where someone called you a "basher", lol, I hate to think of what his portfolio looks like.

    Years ago I was making money on a stock I knew was a fraud, but try as I might I could not convince the investors that the stock was a sham. So I just kept trading and trading it short term as it rose and fell, often by 10% or more per day and sometimes even more twice a day. Finally it collapsed with a reverse split, me and a few others got out in time near the top with a nice profit. But the stock board still resonated with cries that the company would rise again. Alas it never did and the SEC finally implemented new rules that prevented the company from using false prospecting claim stakes without proof, so the company languishes in penny hell with the owner still making occasional promises of a bright future. LOL!

    At my brokerage house I happened to meet a guy who had lost all of his money in that very same stock, some 75,000 dollars. I thought to myself wow, how could anyone put that much into a penny? I, myself started trading with just 200 dollars and never put in another penny. Nor would I, if I lost my initial stake I'd have moved on.

    But thanks for the great read and the great in depth analysis, it should be more than enough to convince would be investors to stay clear, but, I've seen and read enough from posters on boards and in comments sections to know that even the second coming of Christ himself would not deter some people.

    Keep up the great work!
    Nov 13, 2014. 01:58 PM | 1 Like Like |Link to Comment
  • Whitney Tilson's Kase Capital Boosts Stake In Struggling SodaStream: Opportunity?  [View article]
    I sincerely hope this isn't the same Mr. Tilson, who published a negative article on 3D Systems, where in the comments we learned that another poster found a Mr. Tilson had written negatively about Netflix. Otherwise that would be a terrible coincidence.
    Nov 13, 2014. 12:00 PM | Likes Like |Link to Comment
  • H-P unveils 3D printing tech; 3D printer makers sell off  [View news story]
    Hahaha... H-P says so and poof it's done! Alright already, last one out get the lights. Gee, the stuff the market reacts to, someone says "Fountain of Youth here, hurry, hurry, hurry...") and everyone's looking for shares! One week later first patient drops dead and shares plummet. CEO says: "Product wasn't quite as robust as we expected, but we think we'll have a handle on the wrinkles soon", everyone rushes back in. No "Devil in the Details" here, eh? What fools these mortals be!
    Oct 29, 2014. 01:52 PM | 1 Like Like |Link to Comment
  • 3D Systems appoints COO  [View news story]
    jhaxman031... I know, I used to think that way, but that way of thinking is short term thinking and it leads to bad decision making. You find yourself looking and treating all investments as if they were short term investments. Thus, you feel good when you have paper profits and bad when you see losses.

    I had to struggle to stop myself from thinking this way about DDD. Once I was convinced that the company could survive in the long term, I had to stop taking short term losses as a sign that the company was becoming high risk, and therefore the losses might become permanent. Sure 3DS is down now, but, like before, it will climb back up, it's no where near going bk and it is still making a profit, even if not as much increases as the analysts expect. Day traders, momo (momentum) players and shorts are holding sway right now, because they seek to profit on short term events and thus they must move on the rumor and news.

    The excitement of trading; out at or near the highs and buying back more at the lows, sort of trains one to think more like a Pavlovian dog than as a long term investor. Thus your heart sinks as the stock price falls below your entry and it soars when the price goes above, but that doesn't help the long term investor. Once you've identified a co. worthy of being a long term investment, you've got to break away from the kind of short term thinking that yields these almost schizophrenic mood swings based on today's ticker performance.

    Happy investing all
    Oct 29, 2014. 07:24 AM | 2 Likes Like |Link to Comment
  • 3D Systems: Down 42% In 2014 And Still A Good Short  [View article]
    Be nice to hear some real, impartial commentary, instead of the "broken watch" stuff we usually get on this site. (Even a broken watch is going to tell the right time twice a day. LOL)

    Watch where some poster questions my claim that DDD has some 660+ dollars in assets per share, he says it only has about 12 dollars per share. Well guess what that would mean? Yeah, right, after spending several billions of dollars on M&A, almost none of the purchases were worth anything, hahaha... I mean, if you spend ten dollars on a watch, you now have a ten dollar asset, as an example of how accounting works.

    The negative posters and article writers have been examined by readers and found to be so full of flaws and flawed thinking, the theories wrapped around them are pretty darned useless in planning an investment strategy. Be warned!
    Some of the writers on this site have been bashing DDD, then we discovered that they were warning against Google at 85, Netflix, Amazon and Tesla.

    Meanwhile, DDD's offerings are pretty sound and being purchased and deployed routinely by some very big companies, yet some have used the word "scam" to describe the company, go figure. Unless you're a day trader or shorter, you don't care about the quarterly misses. Those who did that with MSFT over the decades it took for them to get going, missed out on the real appreciation. They only got a few small profitable buys and sells and probably abandoned the stock or were out of it, when it started running. Same would have happened with just about any good stock, they don't go straight up or hit their highs in just a day or even weeks, they often take a few years. During that time they go up, they go down, they miss earnings for several quarters, have supply, delivery and other problems including sometimes financial problems. If you can see a good future for the product, then stick for the long term and reap the rewards, or day trade and short, pick up a few dollars, then spend the rest of your life talking about "the stock that got away".
    Oct 24, 2014. 10:54 AM | Likes Like |Link to Comment