AEYE $2.6 million Capital Raise

No sooner did I ask about AEYE press release updates via email, then they announce a $2.6 million capital raise after market close today.

It’s at exactly the 40 cents that the shares have been trading at recently (plus they get warrants to buy more at 37.5 cents)

Doesn’t exactly gel with what management has said on recent calls about becoming cash flow positive soon. However, the new investors are paying the same thing that we can buy shares for today as well (except for the warrants) so the fact that there is a market for this is a small silver lining.

As usual, with AEYE, it’s all about how much “cash” revenue they generate and how much it will grow. I’m guessing it wasn’t too significant in Q4 if they had to do this offering. However, any increase in cash rev in Q4 vs Q3 and an expectation that it will trend up in subsequent quarters could prove today’s price to be cheap.

Still very much a big risk big potential reward company with a very real chance of the stock price ultimately going to zero. That being said, I’ll continue to hold my shares and re-evaluate based on whatever Q4 news gets announced.



I sold my remaining shares yesterday at a substantial loss. Staying invested in this company would mean that I’m hoping that cash revenue will come when it hasn’t been. I’d be hoping that management is honest and not misleading investors despite evidence that they are…case in point, why not just be honest about what revenues really are??? I’d be hoping that their platform is being adopted despite hearing nothing about it except from their press releases. I have better places to put my money and I don’t need to go after such hopes and dreams of a huge return when there are companies that are delivering solid earnings and earnings growth at very reasonable valuations.



(plus they get warrants to buy more at 37.5 cents)

Hi Mekong, I’m certainly no longer high on AEYE, but this is not correct. What they actually said was and a warrant to purchase 0.375 share of common stock at an exercise price of $0.60 per share, which shows more confidence.


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you’re exactly right. I must have read that too fast yesterday. Thanks for clarifying