Learn how to read the basics on a 4C and you will understand why...

Learn how to read the basics on a 4C and you will understand why no one is interested in this stock.

When Scout is in need of stabilising their share price, to turn eyes away from the facts of the 4C or in need of capital Scout spam the asx with flashy announcements.

If you are wondering why Scouts SP is poor it is because they are desperately running out of cash in the bank without the receipts to support their outflows so Scout are putting out a few 'flashy' announcements to shore up SP prior to cap raise.

Smart traders who can read a 4C stay away from Scout - whilst amateurs who fall for the flashy announcements get sucked in.

I have said this once and I will say it again.

Scout utilises fancy webinars and pretty 'highlights' as they are designed to divert your eyes away from the 3 most important areas to evaluate their current business:

1) last quarter receipts for Scout which was only $318k.
2) Outflows of $2.3m (eight times current receipts) with a cash burn of circa $1.5m to $2m per quarter
3) cash on hand $1.8m (at end of last quarter which is nearly finished).

That means within the next 20 days when the next 4C comes out you will likely find there is little to no cash left in Scout's bank with the current burn rate and trajectory of current receipts.

Time to wake up sunshine's - you're in cap raise territory. Ready to get diluted?