It is called bait trading. Institutions will place these miniscule orders out there to test which way price is moving, whether there are buyers or sellers. This testing is done in order to give them a good idea before they themselves load up. So what they saw yesterday was that there small orders were being eaten up, by you among others. This tells them that people are bidding on the stock, hence sooner or later we will see these 1 million to 2 million bid orders from these same institutions that put 200 to 300 share orders.
When it gets to double digits, I would appreciate you sending me compliments on a daily basis for ONE YEAR. Be patient!!!! The price will soar and $ 10 to $ 12 will look like chump change when it hits $ 50.
I read the post "Any thoughts", which should be re-phrased as "Useless thoughts". Investors showing their inner fears and insecurity complex, projected this trash out as if ETRM is a therapy for their depressive mood.
The people who invest in stocks are called "human beings", whether direct themselves or through corporations. Human beings have emotions and there are two of them "fear" and "greed". Where ETRM is today has nothing to do with ETRM but has to do with emotions.
From March 1st until July 31st there was a sell off in all biotech stocks, I mean all of them since they had surged to insane levels. This was a needed correction which shifted stock from weak hands to heavy hands.
What does it matter if you bought ETRM at $ 1.20 or, $ 1.50 or $ 2.00 or $ 2.60 if this stock is going to be a $50 stock with time. Does it really matter?
Right now we are on a up trend, which will continue week by week and we will bust through the 52 week high and, then double on FDA approval. On each rally we will hit a profit taking point as those who bought higher live in fear and are happy to get out breakeven. Hence headwinds a little ahead of us but, we are going up nonetheless.
Stocks anticipate future earnings. Approval by FDA can come at any time and as we approach September and October it is more likely than ever. ETRM said they were talking about labeling. It doesn't take a genius to figure out that review is almost completed and stamp will be issued soon enough. ETRM even came out with price structure $ 15K to $ 30K, manner of distribution through 13 centers + May, gross margins of 70% to 80%, plus speaking to some folks. The fact they have not used ATM is revealing, since it means they expect a surge in stock price.
The rally which began on August 1 is indicative that institutions are beginning to load up once more making the Nasdaq July 31st report useless.
Stop crying, soon enough you will be filled with laughter.
There are many reasons for price:
a) Summer is slowest period for obesity stocks (so cyclical issues)
b) FDA not revealed yet, so investors trading back and forth until material news arrives
c) Institutions rotate from sector to sector, low price means they moved out, but will move bank in soon.
d) Need more clarity on these folks they are talking too
e) People whom go burnt buying from $ 2.20 to $ 1.50 will sell on rallies due to fear (so need time)
The price is where it is because there is NO MATERIAL NEWS yet however when we have a firm FDA date, I expect 45 days in advance we will see a robust and steady rally breaking new highs, then a double of FDA approval before going sideways while we wait marketing.
I do not have a buyout agenda. ETRM has said they are speaking to some "folks".
These folks are most likely corporations whom are interested in VBLOC.
Medtronic and GSK know that the VBLOC technology has tremendous value and the applications for it are endless as industry is moving more and more towards rewiring the body.
What makes it attractive is its patent portofolio which goes into year 2034. This makes a buyout a done deal. It is a question of who launches the first bid. Presently I see 2 candidates: GSK and Medtronic. Others will come as we approach FDA date.
If you were one of these companies and knew their technology, I assure you, you would be making hostile offer.
ETRM did say they are speaking to a few folks. As we approach FDA date which I believe is closer than you think, probably a surprise September 2014 decision, you will see talks heat up and then formal buyout terms.
There is a reason why ETRM has not yet put VBLOC for sale in Austrialia, Europe and Middle East. They have set themselves up for bidding war. Knudson is going to be 66 years old and he is known to build and sell them having worked in the venture industry on thousands of companies.
At the end of the article we notice the name of MEDTRONIC. Add 2 + 2 and you get MEDTRONIC buyout of ETRM. It is so obvious, here is the rest:
This project was supported by the International Neuromodulation Society, and was partially funded by a series of unrestricted educational grants from Medtronic Inc., St. Jude Medical Inc., Boston Scientific Corp., Nevro Corp., and Spinal Modulation Inc. No corporate entities had any direct input into the contents of this manuscript, or the conclusions of the collaborators.
Wow, 70 to 80% margins, that is awesome.
So $ 100 million in sales is $ 1 per share in earnings at 30x earnings, is a $ 30 stock.
A $ 100 million sales can easily be hit; talk about deal of a lifetime.
For September options for 10,900 shares bought at the ask price. There were no bidding price. Someone must know something. If it goes to $ 10 it is $ 80,000 return.
Could it be GSK buyout bid, someone in the know?
Kind of strange to cover the $ 5 and $ 7.50 calls which are so far away in terms of price versus 3 days of trading. Even the $ 2.50 doesn't make much sense.
If we see $ 9 buyout from GSK then we will know.
Mankind license deal only 7 weeks after FDA approval tells me ETRM will either be bought out or structure similar license deals.
Up we go....
Investors are going to roar back into biotech stocks, devices and pharma. What a jump in ICPT.
This rally that is just commencing in the biotech sector will light a FIRE.
We will bust through the 52 week high in no time at all. Watch as 7 million shorts scrabble to cover at the same time that investors flock into biotech stocks.
Can you say big $$$$$.
Others will follow. Didn't sell at all and not interested either as I see bidding war soon....