Recent

% | $
Quotes you view appear here for quick access.

Insmed Incorporated Message Board

  • surestockholmes surestockholmes Aug 13, 2013 11:41 AM Flag

    I don't like it either

    That there was a dilution of millions of shares at what I would think to be a low ball value, but I am not one to apply valuations to this stock or any other. There are positives and there are negatives. IMO at the present there is absolutely nothing retail investors can do to stop this slow bleeding of the pps. IMO INSM will be pushed down to the 9.70 - 9.80 area because that is effectively where the shares were released) and maybe 10.10ish ( because that is where the 100DSMA is and will hopefully provide support, chart work only). Approx. 6 weeks ago we did see support at the 100DSMA, will it happen this time ???????? I think we will find real buyers in those areas or at least put an end to the slow bleed. There has been great chart damage done here IMO. That to me is the negative side, the positive side is the dilution has put more cash into INSM's bank account to help with cash needed for further development of NTM, which I think will be a winner. I do think that many of the shares that were picked up at the dilution are being quickly flipped. I also think that Beacon is finished liquidating shares at least at this level. I have cash available to begin adding when the chart begins to straighten out. Until then I wait to see signs of a turning chart trend. Unfortunately I still hold 1/4 of what position I had.

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • I think Beacon was approached regarding the secondary quite a while ago, say no thanks and started selling. They knew this level of dilution would cause a downdraft in the share price and took profits on their earlier purchases. The only valuation we have is from the average of the various analysts which, when averaged, is about $20/share. They sold the secondary at less than half of this number - likely because it was way more than they needed and probably spooked potential investors who in turn wanted the lower price to justify a perceived added risk. This is more of a venture mentality by management - get as much as you can as fast as you can. It also allows management to increase the option pool to sync with the new share count. This means we will soon see an increase in the pool and increase in the options granted to management.

      Sentiment: Hold

      • 2 Replies to jad9000
      • jad9000 • 4 hours ago Flag
        1users liked this postsusers disliked this posts3Reply
        I think Beacon was approached regarding the secondary quite a while ago, say no thanks and started selling. They knew this level of dilution would cause a downdraft in the share price and took profits on their earlier purchases. The only valuation we have is from the average of the various analysts which, when averaged, is about $20/share. They sold the secondary at less than half of this number - likely because it was way more than they needed and probably spooked potential investors who in turn wanted the lower price to justify a perceived added risk. This is more of a venture mentality by management - get as much as you can as fast as you can. It also allows management to increase the option pool to sync with the new share count. This means we will soon see an increase in the pool and increase in the options granted to management.

      • jad........thanks for your thoughts. IMO this will take more time to sort itself out. Today I watch the volume which is Pittiful and perhaps controlled by shorts. No Big Buyers gives them total control. Do U have any thoughts on a support area?

    • Also note all the chart damage has been done on low volume. Nobody wants to buy when it appears there are only sellers.

 
INSM
27.10+0.36(+1.35%)Jul 31 4:00 PMEDT