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 Agape - health products, discuss if any good

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jonathanchee315
post Oct 20 2020, 03:12 PM

On my way
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From: Kuala Lumpur



QUOTE(Pakatan SinMa Plus @ Oct 19 2020, 04:22 PM)
thanks for the sharing. After reading the above, we can understand why some of the Agape share holders are unable to sell their shares at the current price of 7.50 at OTC market.

The share is not frequently traded and the liquidity is little. If we see Agape share price, it is fixed at 7.50 since Apr20, which is quite unusual as the price does not move from Apr20 to current. When we look into the traded volume, we can see that the latest transaction occurred in May20, and the volume is only 200. In other words, there is no transaction for the past 5 months. 

Shareholders are only able to sell their shares when they can find a buyer who is willing to buy at that particular price, which is not easy. Besides that, it might be also subjected to legal restrictions when resold (not sure if this is applicable to Agape share). As a result, selling the share is more difficult for the shareholders.

I wonder if there is any Agape investor who has gained profit from their investment in this company? Mind to share your experience? Or the only people who have gained profit are the owners and the uplines that have successfully convinced their downlines to invest?
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Basically OTC market are like a steppingstone for company before they get listed in main market. The shares you had invested in OTC for instance agape are not meant to be traded in OTC actually, cause like you mention the liquidity is minimal. Hence usually people invest in OTC companies are praying for them to list in main market, for instance, NYSE and Nasdaq. At there you can sell easily.

When its nasdaq or NYSE the base price is minimum $4 or $6 or maybe higher depend on company valuation.
jonathanchee315
post Oct 21 2020, 10:44 AM

On my way
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QUOTE(Pakatan SinMa Plus @ Oct 20 2020, 04:26 PM)
Hence, in other words, is it like the investment in pre-IPO shares where the share price is extremely low now, and hoping for a big jump once it is listed in nasdaq/NYSE (minimum $4 or $6 or maybe higher)? But the risk here is that this particular OTC share might not be listed in the main market.

As a beginner, how do we know about the chances of this company to be listed in the main market before we put money into the investment? Do you mind to share your view on the company valuation for Agape?
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Indirectly yes, but every investment does come with their own risk. No right or wrong.

Thats why it is important to read the company S-1, basically inside they have full indemnity that shields them from every single risk factor.

I was part of the advisor team for this client last time and I know the inside out quite well.

For Agape it's quite safe, they will be listed in NYSE next year. The valuation is ongoing now.
jonathanchee315
post Oct 21 2020, 11:02 AM

On my way
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Junior Member
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Joined: Dec 2005
From: Kuala Lumpur



QUOTE(yklooi @ Oct 21 2020, 10:56 AM)
shield the company and its directors  thumbsup.gif  thumbsup.gif
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Nothing wrong actually, even if you see other company S-1 like tesla , or amazon they had all those risk factors disclosed as well.

It is sort of like a requirement by SEC to disclose all that.
jonathanchee315
post Oct 21 2020, 11:55 AM

On my way
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Junior Member
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Joined: Dec 2005
From: Kuala Lumpur



QUOTE(T231H @ Oct 21 2020, 11:38 AM)
Since you were part of the advisor team last time, n know its inside out quite well n confidently know that it will be listed in nyse next year....
Just hope that you did not miss the opportunity to recruits Yr family members to join forces with you to "sailang" all you hv got for this "fatt chai" opportunity.
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My own opinion and investment are two different things, if you expect to sailang everytime then good luck to you by putting all egg in one basket.

All investment had it owns risk, and suit each investor appetite. Time will tell if this company will be listed on main market next year or not.

I am not saying any buy call here but just giving my own view based on company fundamentals and prospects going ahead by the information of the S-1.
jonathanchee315
post Oct 21 2020, 11:59 AM

On my way
****
Junior Member
582 posts

Joined: Dec 2005
From: Kuala Lumpur



QUOTE(Pakatan SinMa Plus @ Oct 21 2020, 11:51 AM)
Glad to have you in this thread, you will definitely be able to share better information on this company. thumbsup.gif

I am not in the finance industry, I am trying to understand the financial statement of this company. Understand that there are a few requirements before a company can be listed in NYSE, such as to meet basic earning standard. In others words, a company needs to prove that it is profitable before it can be listed in NYSE. If we refer to the financial figures in the link below, the net income for Agape is negative for the 2017 to 2019 period, and the negative figures are getting bigger from 2017 to 2019. Does this mean the company is losing more money from 2017 to 2019?

user posted image

Source: https://www.otcmarkets.com/stock/AATP/financials
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Yes one of the thing you look at it is thru the financial statement, but you need to know the concept is that, a company that earn money doesn't mean it is valuable and likewise. For instance, you could look at Tesla and amazon, they are basically losing money every single year but their share price skyrocketed. You need to look things much deeper than just reading financial statement.

As the game of American capital market is very different with bursa local market here which judge solely by company earning mostly. But in US it is much more than that, they judge by the social value and etc etc.

 

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