What is going on, page-23

E88 now has 750 million shares on issue.

If history tells us anything, it won't take long to cross the billion barrier, where all the penny dreadfuls swan about.

Some directors just go mad on liquidity, and it kills the potential for major rises in the share price over a short time frame.

Even vipShop only has about 200 million share on issue after many years of building up it's business.

But this is what happens with stocks on the ASX, and why many stocks have limited share price potential.

E88's staggered decline has been interspersed with larger and larger capital raisings (in terms of shares being released) on the way down. Surely no-one can argue that a really good stock should be doing exactly the opposite - smaller and less often raisings on the way up.

Gw