The tax savings on BABA shares may not be so easy. The government is investigating Microsoft because of the tricky methods utilized to avoid paying the full amount of U.S. taxes. For some reason, everyone on this board presumes that there will be a sure-fire way to avoid up to 17B in taxes. I am not so sure and worry that because expectations are so high the stock could take a hit if the tax savings are not as much as visualized by a large number of stockholders. I am long the stock but may consider liquidating or putting in a stop loss prior to the announcement on this issue which I believe will be made when during the next earning report.
At the daily rate that gern's pps is falling the stock price will be equal to the cash on hand. It seems that the market doesn' t place any value to the collaboration or to the importance of the CR's & PR's. It is amazing to me that there are so many shares for sale at these low prices. Millions of shares trade daily and there is more sellers than buyers
which means that there are shareholders who don't believe in the medical breakthrough. As it turns out I was initially happy with the collaboration but now I think we shareholders would have been way better off with a sale of the company even if it was in the $5 - 7 dollar range. Sad consequences for all of us long term holders.
Seeking alpha has an article written by a retired MD who basically suggests that GERN is a buy based on their agreement with J & J and the solid financial position. The article was published at 3:28 P.M.
This stock lingered in the $6.00 range for years. We now have a partner, 35 million initial payment, and revenue possibly up to nearly one (1) billion and the stock can barely hold $3.00. Its amazing to me that there can be so many sellers with the improved circumstances. Hopefully, the funds eventually recognize the potential which would move the share price and eliminate the shorts.
While the deal may not be terminated from the large move downward it appears that there is some negative news that has not yet been made public. The price of the stock seems to be moving to the same price level it was before the news of the deal with Janssen was announced. The question is "how bad is the news" and can geron withstand such news without a total fallout of the stock price.
If the stock was being accumulated by Janssen as you suggest it will have to file a form with the SEC when such accumulation reaches 5% or more. No such form filed to date.
The presentation at the Ash Conference has been given. Look at the Pacifc Time difference.
Geron's followup conference call has not yet been given.
The presentation has already been given and one would expect a bigger gap up after the presentation. Since the gap up is relatively small I can't see how Gern's 4:00 P.M. conference call would make much difference. Disappointing.
That $3.99 doesn't show on any other chart or after hour on the Nadaq site. Also, TD Ameritrade doesn't reflect the $3.99 either. Apparently, a mistake although I wish that were the case. That would up my portfolio considerably.
The presentation tonight if successful in making the attendees aware of the benefits of the collaboration and update of the drug may move the stock tomorrow. After hour may give a hint as to the success or failure of the presentation.
In the long run probably a good buy. However, today it looks like gern will be giving back most of today's gain and the collaboration will be a non event as far as the pps is concerned. The 8k details seem solid and I believe it is better for shareholders in the long run than an outright sale. Instant gratification as to share price will have to wait further proof of concept and ability to get to market.
Its only up .60 so buy it back. If you like the collaboration it is worth more than .60.
For what it is worth, Janssen is not a listed company and is not on any of the exchanges. It is however, one of Johnson & Johnsons business.
There is a greater imbalance with Softbank (Sftbf) which owns 32% of Alibaba. At some point there will have to be an adjustment on both of these stocks to fully price in the value of Alibaba shares.
I also think there will be a buyout. Gern doesn't have sufficient capital or sales force to take this drug to market.
However, they may have to go through supplemental trials to confirm validity before takeover offers become apparent. Based on Gern's experience with dilution and the time it will take to get this drug to market further dilution does not appear to be an option.