First, I will concede that I was mistaken that we would hold at $35.30. Bad timing today with the market swoon. This thing has been a short target, as a relative poor performer. I would not be surprised if some site recommended it as a short. The shorts were able to push it through resistance. And it is shorts, as I see the action level 2, as they try to drop the price by selling aggresively at the bid, even when the stock is trending up.
Second, the downtrend has NOTHING to do with the buyback. Buybacks are routinedly authorized, and then take time to take effect. Further, who knows whether the company has started buying. My hope is that they havent yet, and they are going to start now, right now.
Finally, there is a poster with multiple aliases that continues to suggest that patient at $30 will be rewarded. That's just short smack talk, telling the longs to sell now. If you are a sucker, take the bait. If you cant take the pressure, sell. But one thing is certain, this stock is a screaming buy at these leves. I bought another 600 shares toward the end of the day, and again own 4000 shares, at a basis of $35.40. I'm happy with this position, and believe the stock will move sharply upward into earnings.
Good luck longs. And squeaky shorts, congrats, you had your day.
There has not been one iota of bad news about this stock. Every analyst polled about SPN calls it a screaming buy. The price is being held down so that the company can buy back more shares. They stand to collect 11.1MM shares at these price levels. That's 13% of outstanding shares.
Earnings should again be solid. The buyback will begin to take effect. The stock price will go up. This is a long-term play. Come back in 3 years and ask the longs how they are doing. They probably won't answer because they'll be on the golf course playing with their profits.