Depends on who is hosting the meeting and who or what is attending. If it is an investment bank hosting and institutional investors are attending, the institutions will typically pay for the meeting by purchasing shares of the presenting company, making the trade through the hosting bank. This impact on trading volume is far reduced if the room is packed with individual investors. Also, there is far less of an impact if the meeting is being presented by some sort of industry association (although LitePee will invite attendees to its Pub Crawl).
No, not you, jda (well, yes, as a matter of fact you are a bit of a dip). But did you notice the dip the stock took on fairly heavy volume late in the day? Looks like LitePee has lost at least one of its bigger holders.
Thought you were of a long term fundamental inclination, focused on sales, what LitePee's customers are doing, what the CEO says on conference calls, blah blah blah. Now you are humping this thing based on pictures on a sheet of graph paper?
Image this, jda: I'm standing in front of you with my my arm up, bent at the elbow, and a closed fist. I then extend the pinky finger with the words "Your're not worth the full measure!"
So LitePee upgrades its website and rolls out a PR to wave the flag on this? Woo-Hoo! Take a look at it -- looks like something created in a high school tech class.
Check out the investor page and click on "Research Reports." You get the message to call the ONE bank following this turd, even giving you the analyst's name AND his telephone number. Bet he's in love with the company for that one. Now he's gonna have JOLitePee and the Bostongopherman calling him daily.
Investment bank. Investment banks have two basic functions: they raise capital and they help companies "explore strategic options" (ie: find a buyer). If it is for the latter, they generally have to make a public announcement of the fact. If the former, raise capital, there is nothing special about this -- companies are constantly issuing debt, sometimes stock, to raise capital. Jeffries specialty is high-yield, or "junk" debt -- companies below investment-grade rating. The bank finds individual suckers (oops! "investors") to purchase the shares or debt that is being issued. There is also another function, and that is to assist in making an acquisition and arranging the financing -- either debt or stock.
Looks pretty soft to me, jda. Big pop turns into big poop...
Clowns that rushed in to buy after the close yesterday must feel a bit foolish, doncha think? Now where's that crow?
It is also possible that someone saw something in the 10Q released today that truly offended them, but scanning the document, I did not find anything that out of line or that was not previously known. Maybe jda can help us...
You are the one touting his M&A "experience" -- all four months of it. None of the four months was productive.
Taking the warrant liability out of the equation, earnings remain a bit punky and the low ROE makes me wonder why the stock should trad at 4x book value. The warrants themselves were a very expensive way to raise capital and the better alternative at the time would have been to sell the company but that would have benefited the shareholder more than senior management, so we should not have expected that, should we have? I note that new product development expenses have halved this year. Are we slowing down on development? Also, as I had mentioned earlier, the second derivative of revenue growth (the change in the rate of change) is negative, further hurting the expectations for future cash flows. And after all, isn't a company's value simply a measure of future discounted cash flows? Finally, compare the company's returns with its cost of capital. If you cannot earn your cost of capital, you cannot expect your company to trade at a premium.
Somebody tried to paint the tape yesterday with a small purchase that pushed the pps up six cents at the end of the day. Did not hold. Down the same six cents this morning. Reality bites, doesn't it, jda...
Given that LitePee's fiscal year is approaching its end, the company needs to fund the stock portion of its management's bonuses. Company has 15.6 million shares outstanding with none held in treasury. It also has 24.4 million authorized but not issued shares. More likely, it is in the open market buying shares, rather clumsily, to give to the CEO for his outstanding performance, rather than jumping through the hoops necessary to issue the authorized but not issued shares which, of course, would be dilutive to fellows like JOLitePee..
We've seen some heavy selling recently, including today. My suspicion is that it is window dressing. The end of the quarter is approaching and funds will be required to report their holdings as of 6/30. Their investors will not be happy seeing a position that is down from $2.02 in three months and down from $2.83 over six months, while the benchmarks have done much better. So the solution is to take out the garbage.