I see a slow and steady advance when the covered shorts rearrange their portfolios now that the reality of PKT's prospects sets in. The growth will be more secure than an advance by momentum traders when the shorts back off. The action today, now down 0.28, confirms that the shorts are boxed and there aren't many naked shorts.
bronk I don't understand your commentary , I don't follow your logic in extrapolating your conclusion. The tape action we are witnessing today has the paw print of a aggressive well capitalized group of shorts that are committed to their position. For you to draw a conclusion other than what I just stated please try again. This comment , " The growth will be more secure than an advance by momentum traders when the shorts back off " is where you lose me the beginning of this sentence focuses on fundamentals but than you talk about trading momentum when the shorts back off. I believe you are overthinking this one and nothing about todays tape indicates to me we are dealing with a large boxed short position.
I agree with you bronk. If PKT continues to deliver the shorts will have to cover sooner or later. They are in a box now with such a low float and my guess is that longs will add gradually before next earnings shrinking that small float even more. A few more announcements prior to next earnings may provide a catalyst for the nice move up we all (almost all !) expect.
It is what happens when you have entrenched shorts, and lackadaisical management whose mindset is "it will take care of itself". Also lack of strong institutional holders and a sector that is the red headed step child of tech.