It was fascinating watching the trading today. In a three minute span I take out the offering of 500 shares at $2.82 and the offering then moves down to $2.81. I then immediately take out the offering (500 shares) at $2.81 and the offering drops to $2.79. I then put in a bid at $2.76 for 1000 shares and the offering moves up to $2.85. At 3:59.57 the stock moves from $2.78 to $2.90, the high of the day.
Here is my (long shot) conspiracy theory. BDX is shorting the stock to keep the price under $3 in order to put pressure on Shaw to sell the company at a reasonable price- around $6 a share. That would cost them only about $150m net and they mitigate the continued risks of continued litigation.
Have you noticed that RVP has only issued one press release? It was a very short sanitized statement of fact that the verdict was entered in its favor. I find it interesting that RVP has not made any effort to rally its shareholders behind the verdict. It is almost as if Shaw wants to keep RVP under the radar. For what reason?
The hearing on the post trial motions is scheduled for December. Between now and then it is very possible that the parties will engage in settlement negotiations. In the short term, there should be no catalyst for adversely affecting RVP's pps below the present level of $2.75-$3.00.
I continue to feel that the odds are strongly in our favor that there will be significant appreciation in the stock price. As such, I will continue to buy at this level.