iBankCoin
18 years in Wall Street, left after finding out it was all horseshit. Founder/ Master and Commander: iBankCoin, finance news and commentary from the future.
Joined Nov 10, 2007
23,441 Blog Posts

Story Stock Making the Rounds: UNXL

Everyone I talk to loves the story.

Apparently, UNXL has a new touchscreen technology that doesn’t require rare earths and is flexible, awesome and is going to change the world. The only problem that I have with the company is the fact that the stock is going to drop by 75% inside of 12 months. The same bozos who were pushing MVIS years ago are pushing UNXL today: MDB Capital.

It’s not that MDB is a bad company or thrusting frauds onto the public. It’s just that any honorable company worth its salt doesn’t hire them for investment banking. I can run through a list of names that have shot up, under the auspices of the MDB pump machine, only to come crashing down later in a flurry of punitive secondary offerings.

Remember, the goal of a company like MDB is to raise capital for their clients. They are concerned with fees first, shareholder value second.

Avoid.

If you enjoy the content at iBankCoin, please follow us on Twitter

22 comments

  1. Montrose

    Thanks for the warning. Saw this stock on a stock site of a fellow I knew back in the early Motley Fool days and was tempted.

    Nice to know the stock is perilous.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  2. omen

    So wait unit it pops, and buy some longer term put options?

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  3. buylo

    MDB says, no doubt, this time it will be different!

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  4. ottnott

    Excellent info to have. Thank you.

    The companies that hire MDB are the ones who have one or more serious weaknesses in their technology – weaknesses that lack a clear and economically viable solution. As a result, they have an MDB pushing the story to retail investors instead of having a top-tier firm managing an acquisition by a large tech company.

    I base the above not on anything I know about UNXL, MDB, or flexible display technology, so please correct me if have the knowledge that makes my claims look foolish.

    I base my statement instead on a decade or so of experience in the past when I closely followed some new technology fields (mostly renewable or low-emissions energy) for both my day job and for investing purposes. There was a fairly clear pattern in the public info put out by companies that had some truly interesting technology held back by an ultimately insurmountable barrier to large-scale production and commercialization. You’d hear frequent updates, usually numerical, of progress on some important factors where the technology shined. Discussions of progress on barriers, where they’d been revealed in public, were vague. At technical conferences, the company would present 20% improvements where the necessary improvement was 100X or 1000X, and talk of “steady progress” and some “promising” new materials/modifications/etc.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
    • ottnott

      I should add that, if something is hot when you know it shouldn’t be, you can lose a lot of money being 100% right and short.

      Your knowledge can leave you ready to take advantage of the situation when either there is a blowout top (often due to extreme retail interest) or when some well-funded shorters step in.

      • 0
      • 0
      • 0 Deem this to be "Fake News"
    • Bozo on a bus

      From a technology developer viewpoint, I completely agree. There are some problems you can throw money or people at forever and you just can’t find the solution; progress is just painful to make.

      Sometimes there is zero progress. I once worked for a company that made wafers of switching diodes. One wafer had truly outstanding performance, world class. You think we could ever make a second one just like it? Nope.

      • 0
      • 0
      • 0 Deem this to be "Fake News"
      • ottnott

        That must have been frustrating.

        One researcher I occasionally talked to was in that same situation. He needed to improve the shear strength of magnetorheological fluids by something like 10X. He was always fully confident that they could do it, because they once had a batch that achieved 30X the strength of a typical batch. As far as I know, he was never able to duplicate it.

        • 0
        • 0
        • 0 Deem this to be "Fake News"
  5. The_Real_Hmmm

    You might be surprised to know that MDB Capital was the adviser to $VHC in September 2007 for a reverse merger and $4.5M PIPE. Crazy. http://www.mdb.com/transaction-histories.html

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  6. theedge111

    If this is true and we hit the debt ceiling on Feb. 15th then we pause or head much lower.

    http://www.cbsnews.com/8301-34222_162-57562551-10391739/report-debt-ceiling-to-be-reached-sooner-than-expected/

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  7. JTU

    U.S. may default on its debt a half-month earlier than expected, new analysis showshttp://www.washingtonpost.com/business/fiscal-cliff/us-may-default-on-its-debt-a-half-month-earlier-than-expected-new-analysis-shows/2013/01/07/6c3b3b26-590a-11e2-9fa9-5fbdc9530eb9_story.html

    • 0
    • 0
    • 0 Deem this to be "Fake News"
    • JTU

      Sorry didn’t read “theedge111” above before posting. It’s probably the same story.
      And Mike, my apologies to you as well.

      • 0
      • 0
      • 0 Deem this to be "Fake News"
    • Testicules

      Starting to add a few inverse ETF’s anyway, small positions
      Nothing Lasts Forever

      • 0
      • 0
      • 0 Deem this to be "Fake News"
  8. Po Pimp

    This just in. Notre Dame is over rated and Eddie Lacy is a God damn beast.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  9. en1gma

    Touchscreens are DOA. 3D gestures will be the future interface.

    Do you want to TOUCH your monitor every time you need to do something when you could just wave your hand?

    https://leapmotion.com/

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  10. fake amish

    Story stocks are all 2012. Apple went parabolic as the biggest cap on earth. Gotta feeling 2013 will not be the year of the story gloryhole.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  11. fake amish

    What happened to all the lefty youngins? Got layed off yet? Dudes we are about to go to all time highs. Right? Forward it is.

    • 0
    • 0
    • 0 Deem this to be "Fake News"
  12. JTU

    Piers Morgan’s On-Air Row With Infowars’ Alex Jones Over Gun Control, Sandy Hook (VIDEO)http://www.huffingtonpost.co.uk/2013/01/08/piers-morgan-alex-jones-gun-control-cnn_n_2429847.html?utm_hp_ref=canada&ir=Canada

    • 0
    • 0
    • 0 Deem this to be "Fake News"