I guess it's time to sell into strength. I noticed the stock has been making lower lows in this downtrend, but I've been ignoring the signs.This company does get quite a bit of sales overseas, which is a negative in this environment.
Yes, lipstick on a pig is still a pig, i.e. dilution is still dilution. Your theory was correct. Unfortunately, it doesn't change the fact that their core manufacturing business is weak.Although the wind business is growing, it's a small percentage of revenue, and there's absolutely no guarantee with this burden of government debt you'll see any wind money from Uncle Sam.BTW, the chart closed with a bearish hanging man, if you're interested (see below).http://www.revver.com/video/588721/how-to-trade-the-hammer-and-hanging-man-candlestick-chart-patterns/
Forgot to add that they will not have to pay out the $2.1 million per quarter in dividends to the convertible share holders. This might help the reported EPS.
The 4:09 pm announcement confirms the fact that the converted shares were already included in the diluted shares count.
The only explanation I have for the run up today is they ran the PPS up so the big holders can sell at a higher price.I say that because I'm watching the chart for what might be a triple top formed today.
1. Yahoo Earnings Estimates shows earnings cut by 1 penny for the year.Do you have a specific source with a specific amount of earnings cut?@. Neither of you responded to my message on the "Dilution Coming" post. Interested in your take.
1) They have negative earnings, and business is slowing2) We're in a protracted bear market3) And now their earnings estimates have been cut, as well as a host of other diversified manufacturers.Looking at the chart, this looks like a great short opportunity!