Look at the 1 year chart, June's spike could have been a major short covering on the DDR4 news from the JEDEC meeting. I think spikes were a mix of short covering and accumulation.
From the Needham conference. "We spent in excess of about 70 million dollars in developing the controller IP around HyperCloud and NVault.", from the December PR about Diablo whistle blower, "HyperCloud technology addresses a multi-billion dollar market and was developed by Netlist over six years at a cost of $65 million."
He wants everyone to know the value of what was stolen from them.
From Needham, HCloud- "Starting to gain traction at IBM and HP"
That is why most people prefer a nice steady climb, since large spikes in PPS attract the sort of crowd that induces volatility. Day traders hoping to catch a wave, they all set tight stop losses, then the mass of short sellers who pressure price down and trigger stops, profit takers see price dropping and unload for a nice gain, etc. There was a certain coordination around 1pm today, that was obvious.
The market's initial reaction to large percentage spikes is to flood the internet with short-centric fear and doubt. The market wants to short down the spike and shake out day traders who don't have a clue about why the price moved. They want to trigger stop losses..
The biggest volume action, besides the morning, was around 1:00-1:20 when The Street was putting together their little press release warning people about NLST's past track record without giving any analysis as to what these patent allowances and affirmations mean to the bottom line, in the long run. That is no coincidence.
After that little flurry around the Street's PR, the price held stable the rest of the day as someone is willing to absorb shares.
They did infringe on the patent. There is a whistle-blower from Diablo/SMOD out there as well, detailing how they stole their IP for ULLtraDIMM.
This is so much more than that patent PR that was released late in the day, that PR was not the reason for this move.
They could come out with a PR for an extended loan facility, that is an option.
You need a Shelf if you ever decide to raise capital, it is a necessary safety net.
What if they announce that other contract they've talked about in the last conference call? What if they update their guidance? They could easily get an institution to give them $2.00 a share for 5 million shares to help get them on their way to go along with their loan facility.
This is exactly the same thing that happened the last go around with CHTP and the FDA. Price cut in half from 5.00 ish to 2.50 ish on briefing document release day. Panel voted 7-4-1 to approve and price went back up to $4.00 ish before CRL announcement...
Every small cap company files a shelf, many are never used, some are used a little, very few use up the entire shelf in one sweeping dilution. They tap the filing little by little depending on needs.
Every single company who ever thinks about needing capital somewhere along the way needs to file an S-3 shelf filing. Many companies do it routinely as they have limited life-spans, they need to be renewed every few years. Often, the company filing will NEVER need to tap funds from a shelf filing, they go unused. Pretty much every development level biotech has a shelf filing to enable them the ability to raise when necessary.
Shelf filing with the SEC is not a notice of dilution, though they can lead to a dilution down the road when the share price is more optimal... If WYY does have another contract announcement coming soon, they might want to wait to think about raising capital in this shelf, announce good news and let the market realize the potential so you can raise at a higher price because the demand for shares will be greater.
They have not announced any capital raise, don't people understand shelf filings? They aren't dilution announcements.
There is no guarantee they will raise any capital, there is no guarantee they will raise $25 million, that is just the limit. Companies file S-3 shelf all the time and many go unused. They may use it to raise some cash, sure, but there are no details.
Shelf filing is discretionary, up to 25 million. They may not use the shelf at all, they may raise $5 million, $10 million, etc. I don't think you can say they are going to use the whole $25 million at this point.