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Our latest update on Pioneering Technologies can be found here:

PTE February 2019 – Where there’s smoke..

10 Comments

    1. The benefit, in my opinion, is one of awareness. Landlords or users of coil top stoves that know that there is a “safer” option that is available may be incented to purchase a Smartburner, which will hopefully drive increased sales.

  1. Personally, I’m not interested in aftermarket parts for my stove. I think the ousted execs had the right idea that the tech is where value lies. This company is shady and insincere. Distribution model won’t work; money will run out. Do not invest.

  2. What do you think about their last quarterly report ?
    I thought it was interesting. If I’m not mistaken their cash flow remained stable since last Q which is quite a surprise for me. Hopefully revenues will improve gradually.

    1. Hello Tarik.

      Thanks for taking the time to visit my site. I appreciate it when readers provide feedback, as it lets me know someone out there is actually reading this stuff!

      Like you, I was pleasantly surprised by the fact that PTE managed to maintain (and not burn through) their cash position. While I’m hoping to publish an update soon, the short story is that if they can keep “weathering the storm” until such time that sales pick up, they should be ok. Like you, I am hoping to see an uptick in revenues sometime in the future.

      Best regards,
      GS

  3. Grey – Can you understand where the big sell bids are coming from? It seems kind of unbelievable that people continue to sell at the absolute bottom that you have to go back to 2009 to get to. The 500k share bid that was eaten up is approximately 1% of the company, for a mere $17k.

    1. Hi Bender,

      I will be the first to admit that I can’t (exactly) explain what is going on here. For the most part, I have always been a “longer time horizon” type of guy, so I’m not always paying attention to the details of the day to day bid/ask. That being said, one has to keep in mind that there are some investors / traders out there that like to churn for a quick return. For instance, if I can pick up 200,000 shares at $0.035 and then sell them a month or two later at $0.045, I’ve made $2000 on a position that cost me $7000 – not bad, if I’m willing to wait a month, or two, or even a year. That assumes that one is willing to put up the volatility, the risk of ultimate insolvency, and the low liquidity in the interim. Other than that, I’m afraid I don’t have any more insight than you do.

      What I can say with a bit more certainty is that PTE is now trading with the assumption that insolvency is around the corner. Keep in mind I am not saying that will happen, I am saying the market thinks that will happen. As you probably know, on a net-net basis the company is worth $0.10, yet it continues to trade at $0.035. Given the fact that it actually managed to generate cash during the last quarter, and with no long term bank debt, it is now sitting firmly in the “micro-cap value bin”, which is for the most part ignored by the investment community. As always, anyone taking a position at this time needs a strong stomach. Full disclosure – given that I have a fairly diverse portfolio, I have hung on to PTE, and have bought more at these levels. I am not suggesting this for others, I am simply disclosing my actions at this time for those that have an interest in this.

      Thank you for taking the time to visit my site, and my apologies for not keeping it current. The demands of everyday life have ramped up considerably since this summer, so I have precious little time to write new material.

      Best regards,

      GS

      1. Hi Grey, I was wondering what your opinion is after their 2020 Q1 report. Looks promising.

      2. Hi Patrick. Thanks for your comment. In regards to their Q1, I would have to agree with you. I have been meaning to send off an email to Kevin Callahan (CEO of PTE), but have yet to do so. In my humble opinion, it boils down to one thing: how the sales were derived. In the past, PTE used to rely heavily on the efforts of large lumpy contracts, which (I’m guessing) required a lot of sales efforts by one or more people to convince one organization (a hotel, nursing home provider, etc) to adopt the product. If it becomes clear that Q1 revenues follow this model, then that’s not good. However, as you know, PTE has been pursuing the distribution model for some time, which implies that organizations are coming to the distributor directly to say “please sell me 5,000 smartburners”. If it becomes clear that the bulk (or all) of the sales are derived this way, then this (too me) is very promising. In my opinion (which can be wrong), if end users are now (finally) starting to purchase from the distributors, then this is the beginning of a longer period where we could see recurring sales, which in turn, could also increase significantly.

  4. Hi Grey ,

    According the their latest MD&A “The increase in revenue was driven primarily by the Company’s flagship product SmartBurner to end customers in the affordable housing channel with orders generated primarily by the Company’s key distributors. The Company is beginning to see sales traction through its key distributor relationships and, as a result, will continue to focus on creating awareness with distributor sales organizations and leverage those relationships to build awareness and drive sales with end customers in the channels where the Company’s products are relevant”.

    Regards.

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