Own 4700 shares at a cost of around 3.70. Bought additional shares to average down my pps. Any advice for tomorrow? Should I sell half my position on the open and hope it drops to buy back in, sell all shares and hope it drops tomorrow and buy back in or hold on and put a sell order in at around 3.90? Still want to own shares by the end of the day but not which direction to turn. Thanks in advance.
No one knows with certainty what the price will be tomorrow, next week or next month. What is known is that the PPS will rise quickly upon announcement of partnership and will skyrocket upon announcement of buyout. When that will happen is anyone's guess.
Don't let anyone fool you into thinking that you'll be lucky to get $4 per share or a measly 25% profit. Nupathe has FDA approval for Zecuity. Pharmaceutical companies spend many millions of dollars trying to get the FDA's blessing. While triptans were approved years ago, the difference now is the delivery system. Nupathe holds the patent to the novel dermal delivery system, which will undoubtedly be used with other medications following clinical trials. Big Pharma is aware of this and is willing to pay a premium since many drug companies have expiring exclusivity on their medications and need replacements to generate revenue. Because Nupathe has several patents and other medications in their pipeline, it is an attractive target to pharmaceutical companies with deep pockets. A possibility of what may happen is that a partnership is formed initially and a buyout is announced at a later date.
What is contributing to the price suppression that has occurred the past 3 weeks is the uncertainty if Nupathe will launch Zecuity on its own. That will require a large capital investment, which would require a secondary offering and/or additional financing. That is unlikely, but is a possibility to consider as a worst case scenario. That is what bashers want you to believe will happen so that you will become disillusioned with this investment and put your shares up for sale. Bashers want you to sell them your shares at the lowest price possible. They paint a dreary picture and then laugh as they pounce on your shares at a discount. Think about it: When you consider a stock to invest in, if it is a worthless stock, you move on to the next one and so on. You don't hang out in the message board of that worthless stock telling everyone why they are fools for investing in it.
We both know that PATH is definitely a very worthwhile stock to invest in. What we don't know is the timing. Having said all that, the answer to your question should only be answered by your finances, not what anyone on this board recommends. If you are finding yourself in a financial hardship and need to recoup some cash, then sell the least amount possible so that you maintain a healthy position in this company. This is a rare investment opportunity that you don't want to miss out on. Of all the biotech stocks currently available, how many have recent FDA approval and such a low PPS? May God grant you the wisdom in what to do with the shares you currently own.
I will offer some professional advice. Sell all your shares in ALL stocks you own and invest your money in an age managed mutual fund. That is the only prudent thing for someone who asks investment advice from strangers on an Internet forum to do.
Good advice homebuilder, however if you are asking for PATH advice I suggest you hold what you have for a few days. I anticipate this stock should play higher leading into Feb. 13. There may be some sellers who are frustrated with the play of this stock, but if you ASKING for some advice, hold what you have. In the event we hit $4 pps the stock should stay there.
I was actually asking advice from board members because they have an avid interest in the stock. I know there are several individuals on this form who are quite knowledgeable, day trade and see patterns in stocks. If you are saying that the members on this message board are not knowledgeable or could not provide valuable information then because you responded you are also referring to yourself as well. If you are not on this message to also get valuable information, then what are you doing on this forum?
Guess I do not know which direction we are headed tomorrow, up or down. If I sold half my position and it drops I minimize losses and can buy back in on the low tomorrow to average down even more. If I keep half my position and the stock rises, I get gains but not as much as I could have if I had held. My gut tells me the stock will drop tomorrow as those that bought at 3.40 will be selling tomorrow am. Any other advise?