I think everyone should relax. The company is more solid now than it has been in years. St. Paul has been invested in this company for many years and they need to liquidate their holdings as part of their mission. They continue to hold almost 4 million shares, so it is not exactly like they have lost faith in the company and are dumping. The price has adjusted down in order for them to move a very large block of stock, this is common, in addtion, the stock drops some due to selling pressure and a limited number of buyers (other than the St. Paul buyers who were all taken care of before the deal was announced). The stock will rebound in due time and the fundamentals of the business remain the same today as they did a few weeks ago when it was tradeing at 22.
At 17:41, a 2,458,000 share block was posted at $18. Beginning 20 minutes later, and extending for another 11 minutes, several smaller blocks (the largest being 200,000 shares and the smallest being 10,000 shares) were posted, all at $18.50.
Am inclined to think that this should in no way be regarded as a portent. The rest of us aren't going to get any $18 stock.
We don't have to worry about bad news. I know a salesman who sells for one of SCSS's top stores, and they are way ahead of budget. He said the CEO was in the store earlier this week, and was very, very upbeat about how the quarter was going.
Now, as far as the so called 4.5 million shares for sale. It is probably St. Paul Venture looking to unload some more shares. Maybe they could of sold at a slower pace and got $20+, but, too them, who cares, they are still getting one hell of a chunk of money. And since they bought at less than a $1, that's pretty damn good. So, this means, brokers found new buyers for these shares. Which means, more exposure to the company. When a broker looks to find more investors, like in a secondary offering, they know the company is doing well. Why would they want a client to buy a stock which is going to drop. A no-brainer, higher we go from here. Are bottom is formed. I will buy more SCSS tomorrow if we approach the low $18's. What a bargain!
Rootemail- You were right, 18 was are support, now it's time to go north.
Mark my words! There is absolutely nothing bad happening with SCSS!!! If anybody disagree's, I would love to here it.