It is a long long road to FDA approval for any drug. Even after approval, novel drugs can have a difficult time being marketed and accepted by medical practitioners. It is a marathon and not a sprint. Based on my own sense I feel there is a reason to take pause here. This stock is not going to $100 because of a favorable phase 2 trial. There will be plenty of time to make additional returns if the trials are successful.
How was I to know even months ago, that information about clinical trials would not be available until after a R/S. Impressions of managers can only be made over time from events that occur. Such is the case for me in this instance. I do not invest on pump. I invest on performance or the perceived potential to perform. It is a simple test and I find when I deviate from it trouble is likely to ensue. I grow my money over time and do not look to get rich in a month or two going all in hoping for the next Celgene which took over 13 years to get where it is today.
I do not know if you have ever been employed by a corporation, but failed execution is intolerable and in my own OPINION that is what I think and I acted accordingly as you are free to do as well.I made 53% on my investment in less than a year.. That is good business. Nothing personal semp. If the news is good I will be the first to jump back in.
If you were the CEO and you had the results of z160 and they were bad, what would you do to save your company and the value to your shareholders? Would you keep your stock at a price of $1.20 where the bad news could take it down to 40-30 or even 20 cents? Maybe . Perhaps you may opt to do a R/S and hope to stay above $2 or even $3.
There is no excuse for this R/S. None whatsoever. The date of delisting has been known for over a year. A YEAR!!! Yet, the officers and managers of this company could not execute on clinical trials in any kind of a timely matter to avoid this collision of events. Not even 10 or 14 days ahead of time? If you believe otherwise, then you are deluding yourself. A round of golf here.....a vacation in Aruba there...... Shopping on 5th avenue for a week at Christmas.....whatever.
Now the possibility of dilution along with hedge fund and short interest manipulation becomes very real. So do not whine at all the short posts here as it is only the beginning. Just take a look at the ARNA msg board and that is your future here. May as well get used to it. I will be buying this back someday probably at 63 cents post split although I hope not. And that is a shame because this could be a really great story.
I just will not be a part of a #$%$ shoot of a phase 2 clinical trial after all that has just transpired. Good luck all. I hope this works out.