are you nuts, this was a great placement timing by the underwriters. The stock was low $20'sabout 2 weeks ago. I will note, they were well paid for thei work, taking $1.71 per share as an underwriting fee. The net take by the company was $28.5 - the fee, just under $27.
why, nothing material is likely to happen days after an offering. Don't be surprised if there's a pull-back followed by a few weeks of consolidation. Fortunately, the offering size was fairly small and the digestion period should not be too long.
There is no floor on a biotech stock after a huge rise. The people who managed the offering likely sold some stock high and will try to protect the price a little, but they are not going to go crazy. Relax, expect a period of consolidation, invest, or trade accordingly.
I only know about ANIP because they acquired BPAX, which acquired CEGE, which owned a technology/platform called GVAX that I found interesting. If something was happening related to GVAX advancement, that might explain the move, otherwise it's probably not sustainable, looks like tulip bulbs. People would be wise to sell and exit IMO, but I don't follow the stock so not advising.
buy = ask sell = bid If you mean more "traded" at, or near the ask than at, or near the bid, that means more buyers of calls than sellers of calls. Educated investors care more about the large/inst transactions. Small trades = retail and are good for contra indications. With vol in the high 60's to low 70's I prefer to be a seller of options than a buyer. For people who have no idea what I just said and want to learn more about options to avoid donating, I suggest a book called "Options as a Strategic Investment". All IMO.
I think the March $31, or $32 calls are free money for long term holders. I doubt ACAD will trade higher in the short term. One could probably also sell the March $27, or $26 puts if one wants to potentially enter at a lower price, or just take the income. IMO, not advice.
Glad we had buyers to pump up the price, but $30+ after a financing was announced was just dumb. Expect at least a short period of price consolidation under $30.
He got me all fired up talking about weak management insulated by their rubber stamping BOD's. He has bought and turned around (through hiring better exec leaders and removing do-nothing BOD members) Biogen and Forest. IMGN shareholders need someone like Icahn, not a Chief person officer, a another weak, cool-aid drinker that drains/dilutes and does nothing to add value. IMGN is sick and needs to be fixed. IMGN needs new leadership and DJ should be the first to go and several of his weak partners also need to go. The large owners should be pushing a shareholder friendly agenda. If not, we need a new investor/white knight to turn this around and get max value.
based on today's price action, I think we already know the answer. If BB's were not in, this would not be happening IMO. I also suspect some battered shorts are also exiting now. WOW!
Price action is very unusual/strong/bullish for a stock that just announced an offering. Maybe shorts will use this opportunity to buy some shares to exit the scene. Stock volume is not that strong, option volume is active. New buyers typically receive a 5-8% discount, so the timing of this offering has been spectacular and the support from Jefferies must be very strong. Their biotech analyst Thomas Wei is among the best in the industry. Nice work!
I just hope they wait until after my options expire, or decline in value, so I can cover them. Apparently their cash flow is so strong, they've made a large dent in the Genentech related debt and are ready to start making strategic acquisitions again large and small. Let's see what happens at $17.80, that was the recent failure point. Options are not signaling any unusual strength, or activity.
Dreamer! just kidding, but many longs have been hoping for that for years...one day. These presentations are usually neutral at best and sometimes negative when analysts ask questions and IMGN execs stammer and mumble nonsense. They need to prepare better.
Now that I am about 95% covered with calls that would take me out in the 21-22 range, a deal might just get done.
hey that's great, maybe some of you should invest in acadia healthcare and not acadia pharma.
yes it is. Analysts can't opine on a stock when they are doing an offering (it's called a "quiet period"). some of you people know nothing about the rules of the stock market.