I would be happy if LNCO closes at $28.00 or above today. It has been bumping above and below most of the day.
They have not said. They have a limited amount of shares to give out, the latest offering of new shares changed it, and the IPO is still in the works so it might be hard for them to quantify yet.
A more recent example of a company that could use a reverse split is American Apparel. Last August they were trading in the $2 range, but today they trade in the 50 cents range. They are a declining company in need of a turnaround. A decision to have a reverse split (or not) has no bearing on whether they meet their monthly sales target. They are already having problems.
DVAX is completely different because it is a company just getting started. Like I said before, they just need approval, and their shares will take off the day that happens.
It wasn't a fraud conviction. It was a civil case (jury trial) which will obviously be appealed. It will have zero affect on June approval.
If you are above the threshold, you get 10 cents cash and 13 cents in NAO per share. If you are below the threshold, you get 23 cents cash only.
I think the fact oil and gas prices have remained high during the first quarter is a huge plus. How much production was lost to the weather is the question I most want answered about the first quarter. I think forward guidance for 2nd quarter will be very good.
A lot of investors are most worried about what is happening with the Permian assets, but that will take care of itself in time and raise the pps when they announce it. I don't see a special dividend in the cards for the end of year because I expect they would raise the regular dividend before issuing a special one. I do expect the company to raise the dividend within 12 months.
Meanwhile, I will enjoy my current dividends and re-investments.
It's true that the stock was recently trading in the $2 range and now it is in the $1.50 range which is about a 25% drop, but the pullback is not specific to DVAX stock, the whole Biotech sector is down. For example, Celgene is down 20%, and it is a rapidly growing company. This sector will come back and reach new highs in time. This recent pullback in DVAX, Celgene, or the Biotech Sector, is not the fault of Eddie Gray as some have concluded, but is a general market trend.
Personally, I am very happy with what Eddie Gray has done for the company since his arrival. As soon as he got here, we were denied FDA approval, but that had nothing to do with him. We were trading at 98 cents last summer, but now are trading at $1.50--a 50% increase. He has made smart moves and his timing is good. Along with our senior management, he is doing a great job. Until I see substantial evidence I should do otherwise, I am behind him 100%. Now bring on the reverse split, and let's continue moving this company forward.
All of this talk about companies dropping further after a reverse split makes no sense for DVAX. Most companies doing a reverse split are in decline and hoping for a turnaround. That is in a completely different category.
GM declined and went totally bankrupt.
Citi did a reverse split. And like Blackraven said, RBS had trouble, but the whole banking sector got crushed because they were in a bubble, and they had bad mortgages and bad paper on their books from real estate which was also in a bubble.
Kmart and Sears went into decline and were bought out by a company that just keeps selling off their assets.
None of these are like DVAX whose main product is a leader in its field. The company's problem is not tied to more sales or better marketing. It is tied to one thing--FDA approval. If we get FDA approval, the pps will rocket. If we fail to get approval, the pps will tank. It's that simple, and many of us know exactly how that works because we have been through it. We have been smacked down a couple of times, but not because the drug is not good. The FDA and the panels have agreed on the efficacy. It is the study that has held us back. We have a new study going on that the FDA has agreed on. We won't even have to go before another panel unless a serious problem develops.
In conclusion, we cannot compare a DVAX reverse split with all other reverse splits because we do not fit into a one size fits all grouping. If the stock takes a smack because of a reverse split, I will put my money where my mouth is and buy the dip.
I agree. The low volume shows there is not a lot of conviction on either side and investors are waiting for more information. We will probably see more movement as we get closer to the conference call and the speculators come in.
Personally, I have a core position and currently reinvest the dividends. I intend to hold this no matter what the pps does after the conference call. However, if the pps drops, I will look at adding some shares to trade around my core position because I think the shares are already undervalued.
You might think that, but I don't think that. Management already said they are looking at options in the Permian. They will announce the completion of a deal, but they are not foolish enough to give blow-by-blow press releases for every deal they look at and/or negotiate on.
You don't give any kind of time frame. Are you talking about this year, next year, the next recession? Furthermore, I don't see anything in the one month chart signaling impending doom.
On top of that, I don't see any major moves coming before the conference call. Most Linn investors (and shorts) know what the issues are and we have invested accordingly. We have had very low volume, and I suspect the reason is because most of us are waiting for earnings and the conference call. Also, management knows they are under the spotlight this time and will be prepared.
How can you say that with a straight face when comparing the country economically after 5 yrs of Reagan with 5 years of Obama.
I have all my dividends set for reinvestment. It's hard not to salivate with such high dividends buying such cheap stock. I'm just chilling.
If you feel that way, then sell. It will be your loss and the buyers gain.
I think the stock pps will be looking really sweet by Christmas, and we get paid to wait with a nice dividend.