Do any of the many shorts in this stock ever worry that the company insiders are buying this stock? I would like to hear from anyone who is short this stock as to what their price objective is. When the people who know the most about this company are only purchasing shares, and these people don't make much more than $125,000 per year, why be short? This company is projected to make .22 cents this year and .36 cents next year. They already reported .05 cents vs. an estimated .01 for the quarter just ended. If they continue to beat estimates they could make .30 to .40 cents this year.
I think the shorts are just complacent because things have gone well for them up till now, just as I was complacent with my longs two months ago. Now I am in a world of pain, wondering why I didn't take profits. Please for your sake and mine, cover your shorts and take your profits. The writing is on the wall.
Fear and greed are the two emotions that predominate this business. Greed usually goes with the good times, when you are feeling invincible. It prevents you from taking profits. Fear comes when you suddenly realize that you are short the stock with the 3rd largest short interest ratio on the entire NASDAQ (ITRI) just as everyone recognizes that your short stock is all of a sudden a very successful turnaround in a hot industry. I am early to this realization but the recent earnings announcement, the insider buying and the uptrending stock chart are proof that this stock is going up.
I wouldn't call 3500 shares a large block. It was that late in the day trade on Monday that triggered this week's rise. Not only were those Monday trades huge but they were well below the then market price.
My guess would be that the long term outstanding short position was almost cut in half. For what reason I don't know. Either someone figured they don't need to hedge their convertible position anymore or someone figured Itron will not go broke the way Cellnet did. Now why would someone not feel the need to maintain their long standing hedge on their convertible position?
The clue may be in the annual report where it talks about the possible uses of the cash from the Duquesne sale. It wouldn't suprise me if some "unofficial" information has been transmitted to the convertible holders. skep
The real question is why are the insider purchases so small? The amounts seem to be in the $ 10,000 range -- if I worked for a company that I believed was ready to roar I'd be willing to invest more than the price of a used VW in the stock especially when it's selling close to book. Why are the insiders so cautious?
ITRI is leading the way for the rest of the tech industry. Its share price started a downward spiral way before it was fashionable to do so. The rest of the industry has struggled to keep up, (down?). ITRI share value goes down 75% in the last two years and Pres/CEO Nosbaum gets a $75K bonus for his efforts. This company is not only leading edge , but also charitable. Three cheers for the f**king idiots that currently run the asylum.