The fact is that we will never know where MDTL would be today were it not for the near lethal attack on its capital structure and the business interference. We do know that the company and its shareholders have been gravely harmed by this activity, for a long time.
It does speak to its resilience. Were it a weaker company, let alone the scam the bashers like to claim, it would have folded long ago.
I can understand your message in the abstract, but I'm not sure it works out that way in the real world.
Medis has been around a long time. If there have been attempts to grind them down, as you put it, those attempts have had only partial success. At one time the share price was in the 30s, a year ago it was in the 20s. If SAC or someone like that wanted to grind them down fast, they sure haven't succeeded. When you use words like "the more the merrier" and "faster to grind them into the dirt" you must have someone else in mind. Medis has not been ground down fast, not at all.
Steven Cohen might spread rumors on the street that influence stock market investors (like that famous tape by Kramer about influencing news sources). But that's not the same as Steven Cohen calling Verizon or some other potential customer and telling them tales about Medis. The verizons of the world have needs and do tests and evaluate potential products -- and probably don't have time for bad mouthing by stock market types. The world knows about Medis and SHO. But if Medis has a product a company needs and wants, that won't matter because these are two different worlds.
Medis might or might not have problems of the kind dsn has outlined on this board. Those are the kinds of problems a potential big customer will look at. Very few big potential customers will care what a Steve Cohen might say about the stock IMHO.
I disagree with your first paragraph. It is in all of their best interests for a feeding frenzy to assist in the victim's demise. The more the merrier and faster to grind them into the dirt. As I stated, even potential business partners are aware (could even be the miscreants telling them directly as a method of increasing their odds, lord knows they call up and lie to them six ways to Sunday, why not tell them the truth about this?). Failing that, there is always the Reg SHO list to make sure everybody got the word on who to hit.
Only the insiders of Pequot and SAC know who Pequot and SAC are betting for and against. I have read enuf about SAC and Cohen to know they have absolute deniability. They never show their hand.
Medis is dented enuf and long in the tooth enuf that third parties don't have to use supposed stock market bets before getting involved. Third parties are interested in the product and its availability and distribution. If Medis can deliver, third parties will come. If it can't, third parties will stay away. The share price will play little role.
Yes, the OEM is the golden key. If it's big and impressive enuf, the sky's the limit. We all know that. No one is waiting for Medis to show growth from Q1 to Q2 to Q3. At the moment, everything is a big crapshoot on the impressiveness of the OEM. Otherwise no one would be here on this board. IOW, at the moment no one in their right mind considers Medis a classical value play.
The SEC is no help so far, you're right. And Byrne has enuf trouble keeping his company afloat. OSTK just took a terrible hit and share price is down. Lots of shorties are feasting on OSTK and they tell a great story of Byrne's incompetence on message boards. I wish him luck.
I guess you answered my question. Thanx. If the OEM is big enuf and impressive enuf and the numbers of the OEM deal are luscious, we fly. Otherwise, there's trouble ahead. One more roll of the dice.
The only trump card an issuer can play is to make money, lots of it.
Of course, once the stink of having a Pequot or a S.A.C. and Stevie's minions coming after a company it gets even harder to move into the black, since there are plenty of third parties who won't touch you with a ten foot pole, working on the assumption that the miscreants will devour you, and who wants to do business with that? What a country.
Will Medis prove they will be making enough to scare the prime brokers away from the risk of a profit monster eating them up? Will MDTL partner up with an OEM large enough and in a big enough way to show that it shouldn't be f'ed with any more? Time will tell. Don't hold your breath waiting on the SEC to fix this in time, or even for the corrective actions which Patrick Byrne is forcing on the system to come to the rescue soon enough.
Oh, and pats on the backs to Senators Kerry and Leahy, all these problems, and what to they deliver us??? A free broadcast of an NFL game. Way to go. No seriously, they are really earning their pay. It is who they are really working for which is the question.
What are you saying TMG? Are you saying that even with today's good run and possibly more run up to come, nothing will come of it, MMs will find a way to screw the shareholders, and the shareholders are doomed? Are you saying that the price rise will not hold and will be fiddled away by MMs manipulation?
This "flexibility" the SEC is giving these crooks that you talk of is the same as the police issuing ski masks and AK-47s to bank robbers and then holding the door for them as they make off with the loot. Oh, and of course then not giving chase when they drive away (in the nice car the police gave them too).
As I said before, even with the exemption from borrowing what they are selling, they are still required to deliver on settlement per 17A. In the current environment, there should be no way the activity can be confused with anything but intentional delivery failure which violates federal securities laws.
I am not saying that they do the right thing or that the system makes sense. But it is thier job to keep the markets available for anyone hwo wants to buy and sell. I am sure tehre are a ton of rules (which may or may not make sense). My feeling is that they have a license to steal and probably take advatage all the time. Still they have that exception and that is the reasoning - that they need the flexability to do thier job.
I'll reiterate the "why" here as to why exactly to we need to have somebody in the middle ensuring an orderly market? What would be the difference, particularly with today's technology, if buy and sell orders were simply matched as they appear in the system? The moment a MM steps in, it by definition has a bias toward the outcome.
But the more important point here is that nobody, including a MM, can intentionally fail settlement, which is a violation of Section 17A, although not currently enforced, and is fraud. It is not only illegal but is immoral by even the most lax standard. Stealing, fraud, and I could even make the case for murder in some circumstances that this behavior has occurred.
There is no valid logical argument that can be made to justify naked shorting, although the SEC certainly has gone to great lengths to do so.