posted
I am wondering of any of you OTC-veterans out there know/hear anything about this stock, analysis/theories/ideas are welcomed. Thank You
Market Cap Approx. $ 1.8 million Revenues Approximately $17 million in 2003 52 Week Range Stock Price $0.10--$0.011 Average Volume 1.2 million shares Common Shares Outstanding 117 million shares Float Approximately 80 million shares
posted
Osbuck already spoke his mind on the other post... we both have no clue why they're doing this R/S. After this R/S, they'd have about 18-20 mil O/S. I would think it's a good thing, but with most R/S, the price will drop. I just wish I had sold it when it was .035 .. I really had high hopes for this company too, since their financials have been good and steady. We need someone like Sterling (CMKX), to help us out. Wish i knew more about the company or knew a way to find more info on them.
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actually, i found that ragingbull has a forum on VLVT, it's ugly.. seems like one side is claiming VLVT is a scam =( but i guess that happens with pinks
O yea, the R/S would bring the O/S to 1.95 mil shares, i made a mistake on the earlier post.
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It is official there will be a R/S. But the proposal on the Notice of Special Meeting of Shareholders dated August 25, 2005, to issue 18 million shares of the Company's common stock for all of the outstanding shares of Velvet Textile Mills Limited will not be considered at this time.
If you want to buy wait til after the R/S! Although I don't understand why they are doing a R/S!
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hey Os, good to see u.. yea, i was glad the 18mil share is off the table .. for now.. man, something like that makes me think it's a scam.. R/S then issue more.. WTF!! this could have been a company to make quick buck from.. but i was so stupid.. After reading some of that Ragingbull posts, i'm scared to death.. b/c i honestly believed in this company.. I wish they'd issue some good PR's out to justify themselves.. or do something. Also, I can't really believe in everything posted on Ragingbull, but it has opened my mind more.. I wish there would be someone who would clarify things sensibly about VLVT, not emotionally.. still kicking myself for not riding the waves, sell high and buy low, instead of keeping it for about a year
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One reason for the r/s could be because they have issued their total authorized of 200 million. Split the o/s down to 2 million or so and now you've got 198 million shares to sell. The only thing wrong with that theory is that a change to the articles of incorporation increasing the authorized to whatever number they want is much easier.
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Thanx Upside for the reply.. I wish you'd have more to say about VLVT, do you? It just bugs me that they claim to have about 8 mil in cash, and they have to do something like this to issue 18mil shares after the R/S to 1.95mil shares, diluting shareholders' value. This makes me suspicious. Also, they had a subsidiary back then that they sold, which was claiming to be profitable, and why would they sell something that was already profitable and bringing in revenues. But anyway, I'd like to hear more of what you have to say.
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lostone, I wish I had more to offer you but I don't. I've never followed this company. If they really have 8 million in cash, I don't know why they'd do a reverse. Whenever a company issues their entire authorized amount, something has to be done. They have to have the flexibility to use shares for normal business investments, purchases, etc in lieu of cash if they're strapped but if they really have 8 million bones, a reverse doesn't make sense. Like I said before, a simple change in the articles of incorporation, taking their authorized to 500 million or so is easily accomplished and wouldn't have the devestating effect that a reverse does. I guess in a nutshell, I can't answer your question. The only thing I'd be leery about is that it's a pink sheet stock, you've said that rumors are flying that it's a scam. Scams are rampant on the pink sheets so it could be true. Sorry I couldn't be more help.
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Thanks again Upside.. Well, i knew the risks in pinks, but i thought i'd atleast make some off of it.. but too slow this time. ouch.
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They do have 8 million in cash but all of the money is in Bangladesh! I think the company intends to keep the money over there because they do not have to pay US taxes on it! So they need to raise money for the US operations! (In 2003 they had no revenue in the US but no one knows about 2004 because they won't break down their earnings by region.)
Only question is wouldn't be better to use some of the $8 million in the US instead of diluting current shareholders!! (After the R/S they we probably dilute)
If they are making millions in profits then why do they care if the PPS is down!! If they want the PPS to raise then they should become fully reporting before doing a R/S!
I guess I am an idiot. No wonder noone ever remembers or listens to what I say. Anyhow your welcome for the input....In other words read the link, then see what I told 3 weeks ago before the announcement of the RS. Stay away from these crooks. Brandon
[This message has been edited by brandwilliams (edited September 22, 2004).]
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CITY OF INDUSTRY, Calif., Sept. 24 /PRNewswire-FirstCall/ -- Veltex Corporation (OTC: VLVT) today raised its financial guidance for 2004 by 60% from its previously announced net sales estimate of $25 million to $40 million. Management is providing net income guidance for the full year 2004 of $6 million or $.03 per share. The improved guidance is due to the increased demand for the Company's products and the successful integration of the Company's acquisition, KCA Garment Industries. The acquisition of KCA has provided Veltex with numerous synergistic benefits including the ability to capture both the market for manufacturing high quality fabrics and garments. Additionally, the Company believes this acquisition positions it to compete for business with high-volume membership warehouse stores and mass merchandisers like Costco Wholesale Corp. and Walmart Stores Inc. Javeed Matin, Chairman and CEO stated, "After two quarters of tremendous growth in sales and profitability I am excited about the future of Veltex. Our acquisition of KCA has been a tremendous success. We look forward to continued growth through organic expansion and accretive acquisitions." Veltex sales were $21.0 million in the first half of 2004, totaled $19.99 million in 2003, totaled $13.9 million in 2002, and sales in 2001 were $8.7 million. Audited financial statements for the Company's 2001 and 2002 results are available at the investor relations section of the Company's website.
Veltex Corporation is a vertical manufacturing, import and distribution company composed of three divisions: Veltex Apparel, specializing in caps, apparel and apparel accessories for the Promotional Products Industry; Velvet Textile Mills, specializing in the manufacture of high quality fabrics including velvets, 100% cotton twill, denim, sheeting for consumer and industrial products; and KCA Garment Industries, specializing in the manufacture of garments.
Safe Harbor: Except for historical information contained herein, the statements in this Press Release are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause the Company's actual results in future periods to differ materially from forecasted results. These risks and uncertainties include, among other things, volatility of market prices, product demand, market competition, risks inherent in the Company's international operations, and the Company's ability to replace and expand.
For further information, please contact Paul Knopick of E & E Communications, +1-949-707-5365, pknopick@eandecommunications.com, for Veltex Corporation.
SOURCE Veltex Corporation -0- 09/24/2004 /CONTACT: Paul Knopick of E & E Communications, +1-949-707-5365, pknopick@eandecommunications.com, for Veltex Corporation/ Web site: http://www.veltexcorporation.com / (VLVT)
CO: Veltex Corporation ST: California IN: TEX FAS REA OTC SU: ERP
posted
yea, i figured it wasn't a real one.. but still, the range may have been up there or at least higher than .013 .. btw, what's a fat finger trade? a mistake? also, they're having the split on monday (i think), so what a convenient time for a PR..
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posted
Yes when someone leaves out a zero when trading(mistake)
quote:Originally posted by lostone: yea, i figured it wasn't a real one.. but still, the range may have been up there or at least higher than .013 .. btw, what's a fat finger trade? a mistake? also, they're having the split on monday (i think), so what a convenient time for a PR..
posted
After the 1 for 100 reverse split the stock should be around $1.00! They are saying they will have $6 million in profits this year! After the R/S that is $3.00 per share!!!!
With the GOOD news the stock hasn't moved like it should!! Huge volume but it won't move above .013! SOMEONE HAS TO BE SELLING FOR A REASON!!
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Like how they have no press release about it anywhere.Then post this earnings hype to drive it up and are gonna sneak it through over the weekend.Sneaky bas- turds.
quote:Originally posted by osubucks30: Reverse Split takes effect monday!!
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yea, those sneaks.. I'm beginning to really think this company is a bit scammy, but i'm not gonna bash it, because you can still make money off of it, and i'm saying it's a bit scammy b/c they have products, so it's not so bad, it's just their business style is scandalous towards the shareholders, and then again, everyone is greedy like that.. just have to be on your toes.. What i think is that the price will go up, SO that they can finally issue their 18 million shares that they originally wanted, i'm sure they'll get their ways. It makes me wanna get back into it, but i'm also scared, since i'm not always up to date with the news..
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New symbol VLXC! It has not tanked after the R/S. Pretty high volume!
Got this from their communication spokesman
VELTEX ANNOUNCES REVERSE SPLIT; NEW STOCK SYMBOL
Veltex Trades Under New Ticker Symbol
PR Newswire-- September 27, 2004
CITY OF INDUSTRY, Calif., Sept. 27 /PRNewswire-FirstCall/ -- Veltex Corporation (new ticker symbol: OTC: VLXC) today announced the completion of a 1 for 100 stock split which the Company believes is a major step in its ultimate goal of becoming a fully reporting security on the NASDAQ exchange. Javeed Matin, Chairman and CEO stated, "Now that we have successfully completed the split we believe the stock will appeal to a broader universe of investors. Our Board felt it was very important to get Veltex shares out of the penny range so we could attract larger investors." There are now 2 million shares outstanding with just over 1 million shares in the float.
Last week, Veltex Corporation reported record second quarter net income of $2.0 million, or $1.00 per share, based on current shares outstanding. Total net sales for the quarter were $10.1 million. Total net sales increased more than 180% to $21.0 million for the six months ended June 30, 2004 from $7.4 million for the same period last year. Net income for the six months ended June 30, 2004 grew more than 270% to $2.86 million compared to net income of $766,238 for the first six months of 2003. Earnings for the six months ended June 30, 2004 were $1.43 per share based on the current shares outstanding.
The increase in net sales and net income were due to organic growth and the successful integration of the Company's acquisition of KCA Garment Industries.
On Friday, September 24, 2004, Veltex raised its sales guidance for 2004 by 60% from its previously announced estimate of $25 million to $40 million. Net income for the full year 2004 is projected to be $6 million or $3.00 per share.
Mr. Matin stated, "We believe the split will help the Company achieve its goal of raising sales over $100 million annually by assisting in achieving more favorable financing terms for growth of our current business and strategic acquisitions." Veltex sales in 2003 totaled $19.99 million, Company sales in 2002 totaled $13.9 million, and sales in 2001 were $8.7 million. Audited financial statements for the Company's 2001 and 2002 results are available at the investor relations section of the Company's website.
Veltex Corporation is a vertical manufacturing, import and distribution company composed of three divisions: Veltex Apparel, specializing in caps, apparel and apparel accessories for the Promotional Products Industry; Velvet Textile Mills, specializing in the manufacture of high quality fabrics including velvets, 100% cotton twill, denim, sheeting for consumer and industrial products; and KCA Garment Industries, specializing in the manufacture of garments. The stock previously traded under the symbol VLVT.
posted
I will probably get back in this one as it appears they are going to try to get listed on Nasdaq. If this happens it should climb rapidly.
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