You are being very naïve. Read the securities laws and make up your own mind. I have reviewed them myself regarding GALE.
1. Securites Act 1933 section 17 B - it clearly states it is illegal to promote a security and not disclose receipt of payment for doing so. The only gray area here is whether just the author, or both SA and author have committed this crime by clearly funneling funds from GALE Dream Team SA Author. It is black and white that at the very least the author and possibly seeking alpha as well as Dream Team violated this law.
second question: did insiders sell shares on the basis of any fraudulent or untrue statements? Obviously your point is that the articles themselves (in your opinion) were strictly factual. Nevertheless the fact that is omitted is that each article was posted under false names and was directly the result of a promotion campaign by the company.
so at the LEAST... the Company engaged in an effort to promote the stock, paid for promotion, and was fully aware that the authors misrepresented their identity and failed to disclose their compensation source. It is also true that the articles resulted in substantial increase in share price that would not have otherwise occurred, allowing the insiders to sell at inflated prices.
I expect litigation to go on for years and ultimately for mgmt. to have to disgorge their proceeds. But the bigger issue here is why they felt they had to do this if they believed in the science and market opportunity. That is the real issue.
correct. Here is the quote:
Over the past year, we have accomplished the following:
• Acquired Abstral® (fentanyl) sublingual tablets, implemented a commercial team, launched the drug in October 2013, and currently have approximately 5% of the branded market after only four months of launch.
how much does Galena get to actually keep ?
say they sell $3million..
marketing expense is what?
Fees to Orex are 'lower double digits'... so is that 20%? 30%?...
Discounts were XX?
my guess is $1million in operating contribution after expenses and discounts, with a net loss of -$8.2million
not even remotely the same. you're not recommending the public buy shares of your company under a fake pseudonym pretending to be a hedge fund analyst. securities laws are clear about insiders or company selling stock while promoting the shares.
Option Brief: Nokia Corporation (ADR) (NYSE:NOK) is down 0.5% at $7.52, after the phone maker lost a Supreme Court tax appeal in India. Nevertheless, options speculators are wagering on a recovery for the stock, with calls trading at a 49% mark-up to NOK's average intraday volume.
The equity's 30-day at-the-money implied volatility (IV) is 2.2% higher at 47%, pointing to escalating demand for NOK's shorter-term contracts. Unlike Wednesday's session, calls are outnumbering puts by a near 6-to-1 margin today, with roughly 29,000 and 5,500 contracts traded thus far, respectively. Most of the action has transpired at the May 8 call, where more than 20,600 contracts crossed, primarily in simultaneous blocks just after noon ET. More specifically, almost all of the calls traded at the ask price, and IV on the option is 2.9 percentage points higher, hinting at newly bought bullish bets.
The call buyers' goal is for NOK to be sitting atop $8 at options expiration at the close on Friday, May 16. In fact, the volume-weighted average price (VWAP) of the calls is $0.45, meaning the buyers will reap a reward if the shares are north of $8.45 (strike plus VWAP) -- which would mark a near-three-year high -- at expiration. Risk, meanwhile, is limited to the initial premium paid for the calls, should NOK stay south of $8.
The $8 region has been tough to penetrate for Nokia Corporation (ADR) (NYSE:NOK) shares, as this area has stifled the stock's rally attempts in 2014. Still, delta on the May 8 calls stands at 0.42, implying a roughly 42% chance of the contracts landing in the money at expiration.
ok, I guess that is positive. not sure it moves the dial. but ok.
I'm not seeing a winning strategy yet with Here ... what can they do to triple sales?
continue to see a lot of money flow into the May calls requiring the stock to get over $8.40-$8.50
That's about $900,000 in premium
decent sized bet
Nokia india is a money losing enterprise. Getting it off the books or even walking away is an accretive solution. $300mill writedown is nothing compared to ongoing losses and tax liabilities.
remove the tumor doctors!
He is demonstrating that SA's procedure and communicates indicate Galena and CYTR actively edited and approved articles written under false names for remuneration.
He has emails from SA stating that Galena mgmt. does in fact review and approve and possibly edit the articles without disclosing they are paid for by the company.
In addition it is likely to be used in the lawsuits to drive discovery and subpoena records and emails from Galena, SA, and Dream Team that will be used against them.
ultimately the sad part is Galena mgmt., even if found to be violating securities laws, will not pay a thing. They'll just assign themselves more options and stock and do another secondary and the retail investor will foot all the legal bills.
the macro environment is no different today than 4 months ago. one thing that does bug me though is the relative underperformance of NOK vs. the market and vs all positive news... there really is a lack of real 'interest' in Nokia as an investment.
I see that as a shortcoming of mgmt. .. they have done a terrible job of communicating. They need to get off their #$%$ and announce the strategy to monetize the company's formidable #$%$ets and do a road show across the US financial community to explain the strategy.
we're seeing Nokia trade like a cheap momo stock, which is too bad.
How so. If someone comes in and buys 7,000 May 7.00 calls at the ask that tells me several things.
1. They are wanting a highly levered long position but dont want to pay a lot of premium.
2. It is not a hedge since it was purchased at the ask and a hedger would prefer to use out of the money options to reduce the cost.
So how is that a bearish trade?.
disclosure is the problem. paying for PR from individuals misrepresenting their credentials.
frankly if they hadn't sold any stock it would not be a big deal. they are pretty naïve and frankly dumb but I guess in hindsight the stock wouldn't have gotten over $3 without it all
Initially I believed these suits had nothing to really stand on, but this new article provides some pretty damning direct evidence that will warrant a great deal of subpoena'd discovery docs from Dream Team and Galena....
long term if the science is real, it won't matter, but short term this is pretty ugly. shares could hit $2.50... certainly under $3 near term