my last $5 stock rec'd the same premium when it was acquired. Besides, the $8 area represents the higher end of luby's trading range the past few years.
they said in their CC that they are actively searching for more opportunity in their space. it is logical because the alternative energy sector is real depressed right now and FSYS has a boatload of cash it is itching to spend, so it does not have to give it to its stockholder's.
These guys are hell bent on acquiring another company, but shouldn't they try and get their own a mess fixed before taking on someone else's troubles? Why not cut expenses to the bone and pay out some of their significant cash hoard to shareholder's?
The company announces pay hikes for its top three officers. They wouldn't be able to justify this, unless they had some positive news up their sleeves, to ultimately share.
two really big things this stock has going for it: its cash hoard and Becker Drapkin! The stock looks like it is just about to go in the green despite a horrific market today.
Wall Street is very fickle. Although it absolutely loathes and despises the shares today, It could easily switch to a more bullish stance at the drop of a hat.
we need more of a selloff, to shake the weak hands out of their remaining shares. A capitulation if you will. Another 10% drop would just about do it, and might be a big enough to get even the Pappas's to buy in the open market.
why can't you "buy to cover" in after-hours? I do it all the time
stock really rebounded from its lows in extended trading. Almost $1.00 rose to be exact. Shorts covering to book profits.
I am not sure why, but FSYS actually outperformed the market today, and rose above the all evasive $10 mark. Will wonders ever cease? Could this be the start of a new trend? One thing for sure, I am not getting my hopes too high.
It was back in Jan 2008 when management defeated Ramius Capital in a tumultuous proxy fight. Ramius was attempting to get Board representation, as well as push the company into monetizing its real estate assets through a series of sale leasebacks. Could a new activist investor enter the scene? When you consider the shares are now at half the levels they were when Ramius was involved, the probability of renewed activist interest is high. The question is, does current management with their 34% ownership stake, still have enough clout, power and influence to derail another suitor's intentions? They probably do-you have to go with history.
you can't look back to 90-93 or even 2002 as valid comparisons, Back then the company was entirely a different animal. They didn't own their largest division (BRC), had very little cash, and was saddled with way too much debt.