As long as you have the 30K to exercise the option if you should find yourself late Apr with the stock price hovering between $3 and $4.60, then there is little to no risk to the strategy. Better than forking out 46K today and still find yourself late Apr with the price between $3 and $4.60. Only way to lose would be for the price to drop below $3 between now and then.
This is working out well. Some consolidation in the 4.50 area is healthy for the sustained uptrend in 2014. We are building a new base from which to mount an attack on the 6s and 7s. If we close green today shorts should start trembling in their boots if they are not already.
which part of the chart you do not like? the part where it goes from 2+ to 4+ in 4 weeks? Yeah, that really sucks!!!
yeah I remember what happened to clsn, it went all the way from the 1's to the 9's before the end of ph3.
If you have not been paying attention to the explosion in price and volume over the last 4 or weeks you have been sleep at the wheel. This is not just mom & pop jumping on board, big money is getting in, and the temporary declines happen only when they step back from buying to allow shorts and weak hands to lower the price so they can resume their buying. But the weak hands and the shorts do not have enough power in them to stop the trend. Yes we all know IF Neuvax fails we take a tumble, but those results are way in the future and in the meantime we trend up as we get closer. Between now and then....you're doomed. Too many positives and several irons in the fire to temper the anticipation of good news on any of those fronts.
Some sideways move and consolidation between 4.50 and 5 until Jan 2014 would suit me just fine. Gets me into long term gains and a new tax year should I feel the pressure to take some monies off the table once it starts building up new strenght and starts nibbleling at the 6's
where do you see that the 200K show the wrong year? Unless there is an amendment of some kind, I would take the filing at face value and conclude those options already vested and he can exercise them at any time. Probably not until we are north of 5.
What is missing from this discussion is the strike price at which the option holders can buy the shares......$3.88 The 200K shares already vested in Feb, May, Aug and Nov 2013 (50K each) and the 600K will vest starting Feb 2014 through Nov 2017. Only way to profit from the exercise of the options is for the stock price to be above $3.88
Your strategy can work for or against you, depending on what the pps does in the days or weeks following your sale. But the risk is greater if you believe in the stock, and if you do not believe in the stock, then why be long at all. How many people trying the in and out and in again strategy got caught flat footed when the stock moved from 2.27 into the 3's and then to 4, and they just watched it go up hoping it would drop just so they could get in again. Bet they are still waiting or bought at a higher price than what they sold. On that strategy you never get to long term taxes of 15% and end up paying 38% instead. I am in at $1.55and 25 to 30 days away from long term gains. I am not selling even if it gets to 5 before year end.
If you are long GALE and keep hoping for it to get to $6, $8, $10...then fight the urge to take your profits at $4 and hold on to your convictions. Logic must overcome emotions, you want $8? THEN DON'T SELL AT $4.
Volume has been very high for several days now, about 2 weeks. With that many shares made available for sale and the price still moving up significantly, it means there is huge demand for shares, the result of anticipated good qtrly numbers on Abstral, good news on the phase I FBP trials, and anticipated interim results on Neuvax 1st half of 2014. Too many potential positives, institutions are buying, shorts are covering and penny traders are leaving a ton of $$ on the table thinking they can time this thing. Ask those that sold in the last 4 days how many of them got a chance to buy back in lower.
wow!! bought at 1.91 and sold at 1.99 after a lot of research of phase 2 results. what an investor!!! I'm so impressed I'm tempted to put you on ignore for wasting my time.
I have been invested in stocks that go UP after a secondary, for the simple reason that the company now has the funds to develop and market whatever product they are working on. If the dilution comes as a result of a company being in dire need of cash with no gang buster product in the pipeline, it is bad news. If the dilution comes to give the company muscle to market a winning product it is a positive. Regardless of tomorrow's action, this will only help long and mid term. Yes I rather have a 2 billion market cap company with 80 million shares outstanding, rather than 2 billion with 100 million outstanding. But if that extra 20 million shares gets us to 2 billion market cap who is going to complain?