who cares about satellites? If what they have can handle their current business, what difference does it make? That statement was a general statement without any knowledge of their current capacity and usage.
ORBC is not making money and continues to dilute shareholders. The new $200M registration that went effective the other day is yet another example of dilution. That's enough money for 30M more shares.
so how would a new offer work? Would they "low ball" it at $25M and then have HL up their offer to $30M which would then have to be trumped by the new company? If they were smart, they would come in with a below market but fair offer. I think if they offered $33M, HL would bow out and they would get the company for 83c. The lawyers probably would not fight it either.
I truly think a fair offer is $40M
5. meet with sell side analysts and devise a scheme to best market a $60M secondary the company is preparing. Underwriters to make money via secondary fees which are usually around 5%.
$8, $8.5, $9, $9, $12
hmm, which one doesn't belong? The one who is trying to buy their way in to a secondary as an underwriter. The new $12 price target brings the mean PT to $9.3, higher than the 4 other analysts
Retail surely won't be buying a secondary. That only leaves institutions. Last time they did this Artis bought the $22.75 secondary and was a weight on the shares for years as promises did not develop. Oh yeah, caseyboy2 was also buying the secondary telling everyone it would be a $50 stock in 2 years.
I'll bet my last dollar Norm has convinced them they need 30 more sales guys and they will do a secondary to raise funds.
I don't know where you are looking at "so many" but institutions hold about 3% of the total shares. Most of the funds are index funds and hold companies they need to hold regardless if they are sound or not.
Whalewisdom is a good start and gives history of funds. I would look there.
The only way Dougherty can make money with their coverage is if IDSY is planning a secondary and they put out a PT 33% higher than 4 other guys. They want a piece of the underwriting fees. IDSY to put out a $60M offering. they already have a registered shelf offering.
Norm must be telling them they need 30 more sales guys. At Qualcomm he had a sales guy at every major client 24/7 or something like that. So we are looking at 6M-10M kore shares here. Suddenly, the upside has just been cut in half.
with the complete lack of news and volume over the past 3+ months, Dougherty did not pick up any cheap shares that they can distribute at higher prices. I think this head back down after a few days here. Glad I sold some and lowered my remaining basis
Dougherty had previously initiated coverage on IDSY in 2007 and as far back as 2009 had coverage before dropping coverage.
I guess she found IDSY through her coverage of Trimble. Trimble is a partner of IDSY in this space. One of the IDSY BOD was formerly a big shot at Trimble
the Dougherty Analyst covering IDSY also covers these companies:
Ticker Company Sector
AVAV AeroVironment, Inc. Industrial
CLNE Clean Energy Fuels Inc. Energy
DGI DigitalGlobe, Inc. Industrial
MBLY Mobileye N.V. Technology
PRLB Proto Labs, Inc. Industrial
RAVN Raven Industries Technology
RGR Sturm, Ruger & Company Consumer Discretionary
SSYS Stratasys, Inc. Technology
SWHC Smith & Wesson Holding Corporation Consumer Discretionary
TRMB Trimble Navigation Ltd Technology
TSLA Tesla Motors Inc. Technology
Dougherty & Co Starts ID Systems (IDSY) at Buy
April 16, 2015 10:19 AM EDT
Dougherty & Co initiated coverage on ID Systems (NASDAQ: IDSY) with a Buy rating and a price target of $12 ...
The analyst contact number is on the IDSY website. This is a no name company. Glad I sold some. These things are always short lived
they didn't give me any more details and I can't find anything either
maybe they were hoping someone would come in and offer a superior offer. I really think a fair offer is $1 or less than $40M. I would actually get out with a small profit at that price.
I think a superior offer is emerging for RVM. The $20M offered by HL was a joke. The breakup fee is less than $1M and HL owns less than 2% of RVM shares.
Why would this trade above the conversion price? Makes no sense unless a superior offer is coming in and the new buyer is buying "cheap" shares. HL owns less than 2% of outstanding and the breakup fee is less than $1M. A superior $25M offer would be about 64c. Probably no lawsuits to deal with either. If the new buyer has been buying here and owns 5%, then the "cheap" shares pay for the breakup fee
less than a 4% discount to HL price which also closed at a short term high. Oil broke out and took gold with it. If a superior offer does not emerge in next few weeks, it won't happen.