while I mostly agree with today's Valuable Insights article on seekingalpha
I finally decided to use the gap-up for a short sale here - as the short term outlook for NTE looks weak with Q1 to be dismal and Q2 possibly still below Q4 revenues. Add some additional uncertainties about corporate gross margins and I don't think there will be much new money put to work within the next three to six months.
You are lucky you didn't wake up one morning to a nasty surprise.
My guess is that they will have to issue a statment about the land value at some point. Managment waived their bonus so that they can buy stock. My guess is that as soon as their is clarity on the land value, they will have to put out a statment. Thus far all they said "signifficant value". But at some point they will have to put a number to that.
I am not willing to overlook short term issues here which will most likely weigh on the stock. With a tempered first half outlook I would expect investors to wait at least another quarterly report to get a sense of actual order and gross margin trends. In the meantime I expect the stock to tread water at best so this looks like a great short here.
As the stock has already given back the whole VI induced early morning gain the short position already amounts to a sizeable gain.