Gents, I'm long 12000 shares at an average price of $5.93... You know old saying if it looks like a duck, sounds like a duck then it must be a duck. Let's be honest, is thing a turd? I can't bring myself to sell anything, but I'm also exhausted. Give me some words of encouragement.
I've been where you are, exhausted. No longer. My advice is sell some amount, 5% or 15%, and if the "worst" happens and it rebounds in a few days time, then you'll still have the majority of the gain. If it goes down more, you could buy those shares back lower... or diversify into other investments.
Own your investments, don't let them own you.
Disclosure: Sold SNTA in Jan at 6.33, redeployed long OMED. I'm here because I keep former investments on a watchlist as possible future long investments, and today's drop got my attention.
I think the downgrade has a lot to do with Synta's money worries. They stated that they have enough funding to get through 2014, however, the the first clinical trials for Ganetespib may not be concluded until 2015 which means that it may not get FDA approval until around 2015 provided it is successful in it's trials. To put it simply, I think Synta's main value is related to this drug and whether or not it gets FDA approval. I am a share holder as well and I am pulling for Synta and if and when Ganestespib hits the market the stock will soar. Until then Synta will remain volatile but we should know more later this year.
Sentiment: Strong Buy
Actually if you talk about "looks like a duck", show me ONE other pharma stock where insiders, be it scientist , investors and directors ARE invested so heavily in the company.
Even Safi, the ousted CEO is a believer.
I have had many pharma stocks before, but I am YET see as much CONVICTION as I see here.
This may look like a frog TODAY but there is a reason for this conviction from those in the INSIDE: Could it be that it is actually a prince and not a frog ?
I am betting on it !
Sentiment: Strong Buy
If you look at insider purchases, you'll see that Bruce Kovner bought 5 mil shares at $3.75 on the open market with the last public offering in Nov. I doubt he wants to loose $18,750,000. Don't you think that his actions are related to his confidence in his company? SNTA may not move up quickly and is a volatile stock, just like all biotechs are, but you also may be rewarded for your patience.
I exited in the mid 5's, I learned a long time ago about stop losses. Also, after carefully reviewing the data I became concerned about Galaxy-1's fate. Long term, this is a hold but I think I can get cheaper shares in the 3's or lower 4's before the next round of clinical. I just cannot bring myself to rebuy until the fate of Galaxy-1 is disclosed. Too much risk for my blood. If you are willing to hold this for a long time--I mean 2-3 years, then go for it. I am convinced that the clinical readouts with breast and other tissues (plus the better designed Galaxy-2) will prevail. Don't hold on margin, and be willing to wait and be patient. I need to see the readout of Galaxy-1 before I rebuy because there is short-term downside risk. Of course, a partnership would take her back to the eights overnight but I don't see that being announced until the G-1 readout.