1. The number one objective for a business is survival.
2. To a business, stockholders are a source of money, not a source of friends.
3. There seems to be an association between the funds available within a business and the stock price. (When the cupboard is bare the stock goes up, when the cupboard is full the stock goes down!)
4. There will always be another to buy the stocks you sell, so there is always a source of funds for a company. (Many will, and have, left IIP and many more will still buy. Soon the cycle of stock rising will start again and more dilution will eventually occur to keep the company afloat for another period of time. )
5. Being long on a business does not mean holding on to the stock no matter what. If it starts to fall (rule 8%?), dump it and buy back during better times. Riding it down makes no sense.
6. Company officers dumping their shares, owned or options, during a downward trend, is definitely a sign of bad news to come. This seems to be true no matter what the word is as to why they need the money.
What I think is that Internap needed cash to survive for the next year or so. They made a deal with the finance institutions and sold their stock at 1.50 to these institutions. They then leaked the road show to the public to boost the price (it went back up to 2.00 shortly there after) so the institutions could make their share and the common stock holder gets screwed because the stock will eventually fall. Remember, it�s only illegal if you get caught! People kill for a few bucks, what would they do for millions?
The CEO (Peters) knew there was going to be a bad CC, so did other officers in the company, so they dumped their options/shares.
There is no support for the shareholders because we are expendable. As I mentioned before, there is always someone willing to buy the stock. Once one understands that concept, it is easier to make money in this game. For companies, it�s to hell with the stockholder so I say to hell with the companies. Ride�em up, then dump�em. Only give loyalty to those who deserve loyalty and in my eyes IIP deserves no loyalty what so ever.
"There is no support for the shareholders because we are expendable. As I mentioned before, there is always someone willing to buy the stock. Once one understands that concept, it is easier to make money in this game. For companies, it�s to hell with the stockholder so I say to hell with the companies. Ride�em up, then dump�em. "
Agree except, even traders leave the market for other investments: real estate, etc., I believe we are entering an era of stock market exodus on a grand scale for the same reasons you cite. Today even the avg co employee prefers alternative forms of compensation to their own co stock!
No matter how you cut it, you can't time the market (trade) on any stock, especially INAP. If you sell on downturns, how do you time buying back? You can't and those that brag they do, or can, are losers. Securities have become more crooked and less return on investment than trips to Vegas, buying Lotto tickets.
INAP's business is too complicated for the avg investor and the co does too little with PR to raise wallstreet visibility. Hell if you're a little investor already sunk into this up to your eyeballs, great if you're the financial institutions leveraging off of it.