>why did the stock gap up so strongly<
Could it be manipulation? Who knows..
This behaviour after earnings annoucements is not unusual. Eventually, reality sets in.
This was not a good earnings report. In today's environment, we should have seen revenue increases in the >25% range.
After the dust settles today, Mags will still be there, attractively priced, in place around the world with effective technology, and lots more on the way. Anyone who dumped Mags today will probably be back, but I believe the day is not far off when shorts stay away from this stock.
True but with a lower valuation. A lower market cap and forcing real money to exit the stock. The lack of effectivenes of management is paying off! Prove to me that I am wrong by lifting and running the stock. Then I would be hapy to go long again for a trade.