Looks to me like they factored them out to boost cash to hide these accounting tricks. Their cash flow should fall off a cliff in another quarter or two. Look for insiders to be selling heavily in a few days.
I went through their statements and it's all accounting tricks. Even though they supposedly sold $600 million more in product YoY, their cost of product went down by $500 million YoY. We all know that is impossible! What they did is dump product that they had already written off - probably for 50 cents on the dollar to some EM telco and they had little to no cost in it. Their cash flow statement also shows they had much less cash flow than the same quarter a year ago (while they bought back less than half the stock). Accounts receivable are down this quarter by $600 million while inventories are up $300 million - that's not good. I have no position but if I did I'd be dumping into the bounce . I just wanted to see what games these guys were playing.
The head of Spain’s anti-austerity Podemos party has warned that the European project could unravel if Greece is not given fresh help by its partners.
Writing for our Comment Is Free site, Pablo Iglesias argues:
Austerity has shattered the political space historically occupied by social democracy, so it would be in the interests of these parties to rectify this and support the Greek government.
It seems that Italy’s Matteo Renzi, despite his lukewarm support, is alone in fully grasping what is at stake in Greece. Or do people perhaps think that if Europe’s leadership refuses to budge in its attitude, then the “normality” of austerity can be restored? It is unwise to put a democratic government between a rock and a hard place. The wind of change that is blowing in Europe could become a storm that speeds up geopolitical changes, with unpredictable consequences.
The viability of the European project is at stake. Pro-Europeans, especially those in the socialist family, should accept the hand offered by Tsipras and help curb the demands of the pro-austerity lobby. It’s not just their own political survival that is at stake but that of Europe itself.
Should be released in 15 minutes
(Reuters) - Oil prices at current levels may have reached a floor and could move higher very soon, OPEC's secretary-general said on Monday, his first public comment that oil's second-biggest decline on record may have run its course.
Abdulla al-Badri also warned of a risk of a future price spike to $200 a barrel if investment in new supply capacity is too low.
"Now the prices are around $45-$50 and I think maybe they reached the bottom and will see some rebound very soon," Badri told Reuters on the sidelines of a conference at Chatham House.
If US dollar inflates 15% and US market goes up 10% how much will a European bank make investing here? If European Market goes up 15% and they stay in Euros, how much do they make? In addition, US market is overpriced while European market is underpriced. Also rise in the US dollar will hurt US Corporation selling to Europe and rest of world, while drop of Euro will benefit European corporations selling to US. European banks are not going to move any money to US markets, but many banks will pull money out of US markets and into Europe. Today's market move was irrational and a prime opportunity to go short.
This is a shelf offering. They have to sell the shares at whatever they can get which will drive this below 52 week low. Anyone who has witnessed this in other companies' stock knows this.
I think that Eisai is about to walk away. This is in the 8K: "We cannot guarantee future product sales or achievement of any other milestones. In addition, any of our collaborations for BELVIQ may be terminated early in certain circumstances, which may result in us not receiving additional milestone or other payments under the terminated agreement."
OREX is approved in Europe and sales growth way beyond ARNA. Arna should have less Market Cap. $2.94 would be same Mkt. Cap. as OREX
Between what they owe Eisai and what they burn each quarter plus new trials they will be under $100 million by March
It is TERRIBLE news. CS predicted this dilution and it proves that CS was right about their numbers - this is going to $2.50 a share. It also shows that there are no companies talking to Arena about partnerships or acquisition, so Shorts are now free to come back in without worry. It also shows why the price was pumped up and insiders sold. Insiders were definitely aware and acted on insider information so there will be lawsuits plus SEC investigation. It also shows that their earnings and coming earnings for next several quarters are terrible or Arena would have waited until after they announced. As I said - this is terrible news. Get out here.
American Petroleum Institute was said to report a decrease in U.S. inventories. Stockpiles declined 4 million barrels last week, the API said, according to a Twitter posting by Dominick Chirichella, the Editor in Chief of Energy Market Analysis .
NEW YORK — U.S. Steel said Tuesday it will lay off about 750 employees from two plants that make tubular steel, which is used in oil and gas drilling.
The company said it will shut down a plant in Lorain, Ohio, in March and lay off 614 workers. It said the move is temporary. U.S. Steel will also lay off 142 employees who work at a plant in Houston.
The plants make steel pipes and tubes used in drilling for oil and gas as well as construction. The Pittsburgh company said it is making the moves in response to falling oil prices and unfair competition from foreign companies.
The price of oil has dropped since mid-2014 and is now at its lowest levels in about five years, reducing demand for the pipes and tubes made at the Lorain and Houston plants.
The company stopped work at two tubular steel plants in 2014 and also filed a complaint about unfair competition by foreign companies.
U.S. Steel had about 26,000 employees in North America and 12,500 in Europe at the end of 2013. The company's shares lost 44 cents to $24.91 in midday trading.
You are right to be buying here but wrong about the Saudis. They have destroyed the fracking industry and they know it. 55% of U.S. oil comes from fracking. Not only will most of the fracking companies be destroyed and go away but the U.S. will now fall from top producer to about #7 or 8 on the list. The fracking industry won't spring back as oil prices rise because so many investors and banks have been so severely damaged that they'll never step a foot into this water again.