Just as the term is applicable for a long holder of a stock which is appreciating for days on end, the same can be said of the exuberance experienced by a short trader of a stock which keeps depreciating in value day after day..
This stock was trading at $10.51 on April 15th, & in a little over 3 months PTX's share price is down over 55% hitting a 52 week low. I realize there is uncertainty surrounding the company's financial health, but there is also some contradictions during this period., such as analysts continuing to reaffirm their buy or outperform opinions & price targets in the low teens.
Also, institutions have been adding to their positions in PTX during this 90 day cycle since April, not unloading their shares. I for one believe today will be marked as the final day in the string of consecutive down days, & tomorrow will mark the beginning of a string of up days heading to next Thursday's quarterly announcement.
Technically speaking, there is oversold & then there is what we have been experiencing, which may not have a name. But this long is calling it right here, right now, July 31st will be a green day, an up day, for the longs who own PTX, the first of many to come in the days leading to next Thursday's earnings announcement & guidance to be given on the conference call.
Yes, they know they want a short term capital loss. How risky is it to short a 66 cent biotech stock? The best you can do is 66 cents IF it goes to zero. More likely than not it will be north of a dollar within 3 months. Just my 2 cents.
Yesterday's volume increase & sp gain in light of a down mkt is encouraging. A possible bonafide start of a price reversal. No doubt this is one of the most oversold & shorted equities out there. GLTAL
Thx akj; didn't know they were meet with Oppenheimer Europe this coming Monday; Here's the conference they're presenting at next Thursday, the 4th:
Business Wire Pernix Therapeutics Holdings, Inc.
May 21, 2015 7:00 AM
MORRISTOWN, N.J.--(BUSINESS WIRE)--
Pernix Therapeutics Holdings, Inc. (PTX), a specialty pharmaceutical company, announced today that Doug Drysdale, Chairman, President and Chief Executive Officer, and Sanjay Patel, Chief Financial Officer, are scheduled to present at the Jefferies 2015 Healthcare Conference as follows:
Date: Thursday, June 4, 2015
Time: 11:30 a.m. EDT
Just released yesterday is the most recent statistics for short positions. PTX is up over 30% month to month.
The most recent short interest data has been released by the NASDAQ for the 05/15/2015 settlement date, which shows a 1,756,979 share increase in total short interest for Pernix Therapeutics Holdings, Inc. (PTX), to 7,509,224, an increase of 30.54% since 04/30/2015.
If there are 27.41 million shares constituting the float (per YHOO) & 80% of that number is held by insiders & institutions , i.e. 21.9 million shares, that leaves approximately 5.5 million shares available for the shorts to buy to cover their position.
Obviously, those shareholders who are not insiders or institutions may be holding also, further reducing the available number of shares to buy. If the new number is over 7.5 million shares short as of 2 weeks ago, I for one would not be feeling too good if I was short PTX & some positive news provides the catalyst for rapid share price appreciation. Thus, the classic recipe for the proverbial short squeeze.
PTX is presenting this Thursday, June 4th. We longs may experience an early July 4th fireworks display. JMHO
That would be my guess. Conference starts Friday in Chicago & runs for a few days. Maybe an announcement will be made regarding a development. Sitting here with a few shares, whatever the reason for the run up with volume is okay with me.
Here's trusting that the Company's interpretation of timing is the same as mine:
Pre- NDA Conference with FDA; in 2nd qtr 2015. We are already 5 weeks into the 2nd qtr, so to me that means the mtg will take place within the next 7 weeks, or by June 30th, when the 2nd qtr ends.
And, NDA filing; Company said the filing will occur mid-year 2015. Well. to me mid-year is July 1st, so, if the pre NDA Conference goes well within the next 7 weeks, then the NDA gets filed on or about July 1st.
Just trying to verbalize my interpretation of what I read from the Company. Hoping someone at the CC starting in 7 minutes nails this down. GLTAL