I agree. This stock is way, way overbought. The RSI is way to high. Sales have been just outright dismal for everything that BBG slaps a engine into. The DIVI is way to high considering the balance sheet and future outlook and I believe that they will not beat the consensus numbers tommorrow. A sell off is in order. Chart says that a retracement to no less that $20 is in the cards and the next quarter will be worse than this one. Huge dumping of the stock in the last 30min. of the day confimrs the hypothosis.
This SALE hit the tape just minutes after the bell./
10/21/09 15:01:27 22.24 21.22 22.30 152,612
That's 152,612 shares sold in 1 order, the next biggest transacion for the day wasn't even 10,000 shares. See you at $20. Cheers!
Mr. Silver&Gold is right. The price of B&S is too high by any reasonable measure of value, But I think it is unlikely to drop anytime soon and could go even higher. As of 9/25, Short sellers were committed to purchasing 7,550,000 shares of BGG to cover their positions. So even if investors stop buying BGG for their portfolios, every time BGG share prices start to drop, that 7.5 million share order is poised to grab what they can get. Such a huge pool of committed buyers keeps share prices from falling much.
The it is almost the perfect set-up for a short squeeze. One nugget of good news and the price explodes.
We were very happy to sell our shares for $19.75, but I can still see that in the short term, the sky's the limit on the price of BGG. It has little to do with per/share value, it is only the past speculation of short sellers, being forced to admit that BGG is not Bankrupt that supports and could drive BGG to even less reasonable heights.