At $16.43... Nothing negative re the action on the stock, nor anything fundamental, or technical.
Simply, I had a huge share position from 10 months ago at $7, and just couldn't take the risk with
the entire position. Much of it was in my retirement account, so gains were not taxable to begin with.
Comfortable now holding the remaining 50% for whatever comes down the pike...GL to all, and let's
hope for a glorious few months to come!
Okay I understand preserving equity, but the issue I have with some of the other responses is "why now"? 12-0 ADCOM vote? At least a 30% spike on approval but probably more with the low float. Think about a 10% gain now versus a 10% gain at $7. Things are moving in the right direction...we are green when everyone else is red. I dont understand how people talk themselves out of winning and instead into just surviving. Waiting for the next big deal only to talk themselves out of following that through. If you are in biotech then you should have an appetite for risk but this is one of the biggest de-risked stocks I have seen in awhile. Not like MANN with a billion shares in the float or CHTP who barely got through ADCOM, this stock is the closest thing to a no-brainer that I have ever witnessed. Take shares off the table, doesn't bother me, but where are you going to park the money. I bet in a much riskier investment. This is why people who have had a big success with one or two stocks break even. Leaving safety and returning to risk gets them every time.
do not try and frighten us with you sorcerers way lord Vader, you want to run down MANN do it somewhere else. DRTX is not a given , if it was you would not be here arguing with us freaks you would take every dime and borrow everything you can and throw it at DRTX, but its not a given, I agree with you that this guy is a clown or a short or both because no one in there right mind would sell that position,, I bought a 7 dollars also the difference is that instead of selling today I bought more on the dip, and I am already money ahead.
Sentiment: Strong Buy
Experienced investors frequently take 1/2 their investment off the table at times like this, especially when they are deep in profits. It's a wise and common practice. I do exactly the same thing. There is no reason to risk loosing all your profit and principal.
When one goes to Vegas they take money they can loose. In investing the idea is to preserve principle and profits.
I agree with you on this one Tuffy and most likely will regret later. I too am holding. I find it interesting how this stock is not wavering with all this external market action. There's something odd/unique about that. There's a time to sell for each individual, but I'm holding still-at least for now. :)
Tuffy.... Been in bio's for over 20 years and have a pretty good record at that, if I might say so myself! LOL..
I do not believe there will be anything near a 30% spike following FDA approval. And probably for the reasons you just so stated. A 12-0 ADCOM vote means everyone and their uncle fully expects the FDA to approve.
I have been in many bios where approval was fully expected and I'd estimate that in about 60% of them the stocks actually sold off after a short initial run following the approval announcement. We hit a new all time high today at $17.20. The stock has made a nice run going into approval from the 14's.. Most firms who follow DRTX have a $20 price objective...(within the next 12 months)...So we're already 85% there towards the price objective of many firms who follow DRTX.
There can also be the unknown with the FDA. Not on the issue of approval per se, but possibly on labeling, or post study trials.
Lastly....after approval....absent a buyout....what is the big news that is going to come to possibly move the stock a lot higher from current levels? In turn, the company could decide that now would be a good time to do a secondary or other financing with the stock up, and that could cause dilution, and an actual drop in the price of the stock. Plus going it alone is sometimes a marketing strategy that causes concern among both investors, and institutions alike. Happened with AMRN, and the stock went from $16 to $2.
The same rationales that led me to buy this stock at $7 led me to take profits. I don't have to get the last dollar here. Always good to leave a little meat on the bone for the guy who buys your shares!
GL to all longs, and do what you feel is best for each of your particular situations!
Thanks...Had an awful lot riding on the stock, and the closer it gets to $18-$20 the more the risk/reward quotient gets skewed in favor of selling, versus buying IMHO. And I always discount a buyout 100% because, as we all know, it's always 100% speculation until, or unless, it becomes a fact...LOL!