What can i say? I like the stock. They are PROFITABLE going forward. They are not hemoragghing like a Radio Shack, or other truly "walking dead" outfits. They are highly likely to get a new student lender, and a bank covenant waiver (for what was a technical default anyway) in the near future.
i think the Street is crazy for selling this one down this much. The more real "risk" at this point is "reversion to the mean." Which could also trigger massive short covering. If they don't go bankrupt in the near term (which would seem a preposterous scenario), a major rally is pretty much "built in" now.
The pendulum has swung too far. It may swing farther, i suppose, in the very near term...but i'll keep buying, if it does.
I hear you. Zila Fund added sizable position today. Bought 0.96, 0.87, and 0.85. My average cost is down to 1.15.
Will trade and accumulate aggressively from here.
Technicals are terrible, but I am encouraged by substantial discount from book value and the fact that they guided very positively for next quarter. Revenue of 340 to 350 million dollar and earnings of 10 to 12 cents for the quarter. Where else will you find a company that earns 10 cents per quarter and trade at 90 cents. I will continue to sell other winners and accumulate this one.