 in this video we'll go through a 20x penny stock update we'll go through a penny stock which i think is going to 20x but i've also got an update on this stock in terms of some recent breaking news and updates for it we'll go into that in this video i've got to say i'm not a financial advisor i am a business teacher in my daily life but i'm by no means an expert on the stock market we'll get right into the information it's been a long day so let's get right into it so we're talking about today none other than galaxy galaxy next generation and there's actually been a recent shareholder letter shareholder update that's come out it's very long very detailed we're going to go through it we'll pick it apart in this video what i think about it what we're going to do is we're going to stop at certain points i'll highlight certain points and i'll give you my thoughts on it and my take on it in terms of the potential for the company so we'll go through that today and also you've got this recent tweet out from galaxy next generation as well saying galaxy has always been more as has always been more passionate about education and our kids resources above all else the proposed stimulus is important for our customers giving them the financial resources needed to create a safe school environment students are our first priority and absolutely this is what i've talked about in another video is where i talked about the facts that with this stimulus package there's going to be a big increase in spending in education and then from that galaxy are actually going to be able to gain more contracts sell more products because schools will have more financial resources to obtain more contracts so that they can improve student learning student safety and all that those sorts of areas so this is great news and it is a catalyst and this is only going to improve and galaxy is just not as well known as a stock at the moment it's very undervalued it's very underrepresented and i think as it becomes more well known that this stock price is going to go up much further based upon just the common sense of the stock if you're going to have more funding in education okay if there's going to be more stimulus in education schools have more resources to spend money with those resources they're going to go to companies that sell school equipment and school products right and that's what galaxy next generation does so this is going to have a direct impact on galaxy next generation so long as they obviously continue to build more products build those customer relationships as well so let's go into the shareholder letter okay so what it's saying this is for the for january 19th it says it's a provider of interactive learning solution technology solutions and is provided the shareholder update letter so it says here dear shareholders is a top priority for management that we continue to actively communicate with our shareholders and the wall street community by the way if you can leave the video a like that'd be fantastic just helps it get it up in the youtube algorithm okay so let's go back into this with the company evolving and expanding so rapidly we have summarized some exciting events that took place over the last few months or are currently in the works interesting or are currently in the works that we believe will positively influence the direction of the company so this is this is the bit i like here is this currently stuff in the works this could be potential catalysts that they haven't obviously revealed yet in terms of new contracts new products and new areas here which is brilliant i think that this is a good point here in terms of that they're always looking to expand and positively influence the direction of the company right so that's good one of the most significant milestones has been the successful completion of our first purchase order ever received from an oem partner prior to developing and manufacturing audio equipment for other companies we were also developing for our own g2 brand this new opportunity to manufacture products for other is a major step in accelerating our revenue growth as we will be solely dependent on our channel size and customer base for these particular products a successful oem channel takes positive competitors and turns them into galaxy customers another important catalyst for the company was the elimination of all remaining variable rate convertible debt and a recent fixed price equity investment from an institution from an institutional investor that is only eligible for sale under rule one four four in six months in the early stage of the company there was a lack of quality capital so you were forced to take on some comfortable toxic debt that caused a strain on the stock price and dilution that was greater than expected we are truly pleased to begin 2021 with all of that uh comfortable debt gone uh so that was what the next bit on the next slide I'll talk about here but just to just to put this into perspective it's showing that this company can be healthy financially if they're able to eliminate their variable convertible debt it's showing good financial promise it shows to me that they've got their priorities in the right order in terms of making sure the company is healthy financially and to me and to you that should be big because a healthy company is a healthy investment and a healthy financial um future is a healthy investment as well it's very important moving on to further to this letter I do it's a bit wordy but it's very important and we there's a lot of information now the good thing is you there's many penny stock well not many there's some penny stock shall we say some which don't actually communicate well very very well with their investors there's some that and I'm sure that everybody watching this you can think of a potential penny stock that's not done a really good job of of actually communicating with investors I've got one in mind but I don't want to start you know anything anyways it's one that I actually sold and I actually told other people to sell a couple of weeks ago that was around $1.30 and now it's at like 0.80 or something like that so well so that's it so told them to sell between $1.10 to $1.30 anyway going back into this I'm on a tangent okay eliminated and moved forward with a clean slate we're equally pleased to have the new equity investor as a partner in financing the company with a structure that allows the company to better control the timing dilution and pricing in which equity is purchased this dilution factor is actually really important because you ideally you don't want your shares diluted to a great extent so so it's good that they they're kind of bearing that in mind right moving that from the debt to equity is something that was necessary to reach our goal of uplisting to a national us exchange we have worked diligently to clean up our marketing message so that our customers as well as the market are more aware of our capabilities we have an extensive product offering so has been a change to express how important each component we develop or provide actually is we are not just a school company because many of our products fit into all those vehicles where any presenting environment is needed or emergency messaging may be necessary we are not just a company but we do offer products for PPE specifically designed for schools and online learning software to assist in the lockdown periods our customers have experienced we aren't just a brand anymore either as some portion of our revenues are now coming directly from sales made by other companies and their brands that we are manufacturing products for but what I can say that we are is all the above brilliant I like that with the ability to continuously adapt develop and grow to meet our needs and meet our shareholders expectations yeah I do like that I think that's really good so they're diversified is what they're saying in a greater term right they're diversified in terms of the products that they have and I've talked about this the really diversified in the types of products and services and they're building more products and services my only concern with this is and it wouldn't be one of my videos if I didn't have any concerns right I like to be honest my only concerns is is diversification is good too much diversification is bad they need to make sure they maintain that focus in some of these key areas and sort of walk before they can run so to speak right that's just my view on it you can disagree all you like but that's what that's what I think the most recently filed s1 registration statement previously outlined in the 8k filed on January 5th 2021 upon effectiveness provides us available equity up to 10 million 10 million dollars now this is money that could really be used to help grow the company we are viewing this equity instrument as a finance financial security blanket to move forward with our business growth plan brilliant the addition of mr brinkman previously highlights in the press related data yep then has brought structure to our sales organization and as such we currently have opened three sales positions for regional sales managers this will allow us to focus geographically on new territories brilliant so they're expanding their market sharing potential new territories now here which is going to impact directly the revenue where there's been growing demand for our products we believe the local presence will materialize into triple the sales we are currently able to capture with the limited personnel we have had in the past so that's it's interesting one there there's a bit of a projection there saying that they think they can triple their sales okay this available okay i'm i thought my computer frozen right carry on this availability of additional growth capital enables us to focus more on sales and marketing efforts as it will give the freedom to make sure products inventory and manufacturing costs are not hindering us from capturing as many customers as possible for fear of not being able to meet the expected timelines yet another good point that with that as well is if they're able to grow the company and sell more products and manufacture more products you get something called economies of scale so the more products they can produce the cheaper they can get the base cost down of that product economies of scale and then what that does is it improves their profit margins which then in turn obviously impacts the overall revenue okay so schools need not need only PPE materials but technology support their return to the classroom we want to make sure we are in a position to deliver not only all the products suggested under the stimulus guidelines so they're making products and producing products and selling products that are directly related to this billions in funding regarding the stimulus guidelines but but deliver them quickly with inventory in hand to all our locations across the US as our business continues to transform we feel the need to be a bit protected of our new clients partners and opportunities in many press releases we disclose names of our partners and clients who well they're overwhelmed with inquisitive phone calls of emails from shareholders we promise to keep our shareholders as informed as much as possible about our growth new business opportunities without jeopardizing our relationship additionally we continue to grow our OEM channel with a lot of these large annual contracts for manufacturing being held to certain confidential standards and we will protect the rights of the customers while also making any material contracts are reflected in our quarterly and annual financial reports we will continue to prepare ourselves and the company for the next level with a credit a credit if acquisition and a focus on organic growth I believe that the majority of our shareholders believe in what we are thriving to achieve and with your help we will accomplish all of our goals this past quarter ending December 31 2020 be our internal expectations and the corresponding 10Q filing is due February 15 at that time we will likely provide an additional update with an earnings conference call which is brilliant your continued support is important to us as a company and is greatly appreciated by me personally so it's great that they are constantly updating the shareholders you know communicating with us it's brilliant there's a lot of important information in this particular shareholder update in terms of potential catalysts in terms of growth that they're their expansion and their product their verticals and the products diversification that they have so that is that is quite important for me to go through this because I personally said that this stops going to do really well okay and I I first suggested this I look back it was actually one of my top list videos top penny stock videos I first suggested this right and it's it's moved up since then okay like so hopefully this is not freezing I'm moving on to the next slide okay hopefully that hasn't froze for you so don't forget to like the video if you're new to the channel subscribe as well if you want to hear more penny stock breaking news updates and penny stock alerts many of the penny stocks we mentioned are up a lot okay transcend tricks it's up a lot in uva up a lot okay sgbx who which is not a penny stock now is up a lot okay so like the video subscribe and remember to turn on the notification bell so that you get first hand look at the videos because it will send you a notification to your phone or whatever device and then you'll be able to click on it and especially if it's a hot penny stock that's running up it's really good to get that information as fast as possible anyway so thanks for watching the video and I will see everybody in the next one