I bought in at the begining of this month but I've studied up on the company. I have no doubt that this company will pick up. However, my question is what kind of selling point should I look for? This is a newly utilized technology so I don't think looking at historical prices for this company or one of their competitors is a good indicator.
There really is not that mutch fluctuation here. The crazy part is watching people buy into bank rupt corporations like ssccq currently in chapter 11 and paying .30 for the commons in a total crap shoot. If the Judge gives them their way the commons are gone. Or Mesaq an air line company this one has a prayer due to some equity. If you ask me id rather gamble on emerging markets like apdn.ob
Fluctuations of the kind we are seeing are quite common the penny stocks. This is because the low prices attract higher volume trades which cause wide swings to both the up- and downside of a stock. While it is true that historical prices are no guarantee of future performance they do show trading patterns over extended periods. In September of last year we saw the stock @ $0.13 to $0.15 on volumes of over a million for 24 days out of 30; on September 24th we saw over 19M shares traded and this took the price down from $0.19 to $0.16. This stock, like all the others, is driven by volume; it's the law of supply and demand as reflective of "investor sentiment" and has nothing to do with the value of the company. From the posts on this board it is evident that there are a lot of new investors who do not appreciate the fact that buying stocks is a bet on the future prospects of a company. We see a a lot of screaming for contracts! contracts! Well, APDN has contracts with the European Union, Yorkshire Forward, Loomis Armored, the London (UK) Metro police department, Paumanok Wineries, a global luxury brand, and an Asian printer. This is a great company with huge prospects for the future; their product is the best anti-counterfeiting solution in the world. So just relax, it's going to be fine. Only an idiot would sell at this stageof the game.
I appreciate the replies. You should know, I'm very new to investing and don't understand a lot of the lingo. I have a friend who is a financial analyst and she has been baby stepping me through this. I found this company by happy accident. After reading about it... I read more about it. And more and more. I've read every article and seen every chart that I could find (even if I didn't understand it). I decided to buy because this is the kind of security I would want. I'm not looking to turn around and sell right after I bought in. I could imagine this to be like a microsoft stock. 15 or 20 years from now when people are no longer hesitant about the product maybe I'll be able retire *lol*
I have seen this kind of fluctuation, and if you have jumped in over the last month, there is good cause for fluctuation. (See Speculative DHS play below)
First, disregard the reported Price to Earnings 5.78, EPS .013. Reversal of Accrual for 12M.
I had to look at this over a two-year period, with average outstanding shares utilized for the period. Primary Reason, there was an accrual for 12M that was charged over the period, and reversed in 2009. (Sec's Registration Penalties)
The offset appears to be G&A Expenses, with a Net Other Income of +1.17M, after reversal. (Excluded)
In addition, Intellectual property last reported value, 1M, that is being written down by average 367K per year. The value of 363K was used for Intellectual Property.
This company is underwater by (5.1806M), with Private Placement Debt Holders as the owners of the company in theory. (2.410411M) Debt can be converted to Common Stock. (Conversion range appears to be .03 - .11) (With security interest in company assets. In which there is very little asset value)
Target Range by end of April-10: .0397 - .0797
Enterprise Factor Underwater: (.0236_442) / Share
Price to Above Factor: (1.67_756) to (3.37_81)
However, I would place this company on a watch list, as a speculative Dept of Homeland Security play, with a possible trading range .03 - .07
Profile: Provider of botanical-DNA based security and authentication solutions that can help protect products, brands and intellectual property of companies, governments and consumers from theft, counterfeiting, fraud and diversion.
SigNature® DNA and BioMaterial™ Genotyping, our principal anti-counterfeiting and product authentication solutions, can be used in numerous industries, including cash-in-transit (transport and storage of banknotes), textiles and apparel, identity cards and other secure documents, pharmaceuticals, and luxury goods.