Eventually there will have to be capitulation by hedge funds holding short positions and the squeeze will commence. Or UNXL will be a dismal failure and I will kick myself for not selling and going short with them. There has been some short covering so the consensus must be starting to move towards UNXL success. I'm hoping that UNXL is successful. If it is I can eat at Sizzler every day for a week.
There may be a possibility that now that UNXL is under the microscope with the SEC that the SEC may accidentally stumble on some naked shorting. Probably not... but maybe.
Normally, I try and be pretty conservative when I speculate on a stock but I think that $0.79 estimate is very conservative. What's funny is that there are some stocks that I watch that have breakeven much farther away than UNXL and the share price is going nuts. Sentiment is extremely low, this stock is oversold and is only weeks away from positive revenue. Granted, some major delay could happen but without that this stock is way behind itself.
I will hold at least another three quarters. If UNXL announces a JV with Samsung or Lenovo I will hold even longer. This will be very interesting either way.
It is refreshing to see Chris contributing again; it has been a while. I like the fact that he presents both sides of the story and tries to keep the arguments less biased than the hit pieces that I have read lately.
The argument about the importance of capex is something that isn't discussed much. The only thing that is really focused on is opex. Including capex really makes the picture much clearer when we consider the advantages of InTouch to other form factors.
I'll wait to make an opinion about Reed until I can meet him face to face. I will be at the next shareholders meeting. Then I can make a better assessment about what he's all about.
If he negotiates a JV deal with Samsung and/or Lenovo I will be very impressed. Right now it is just talk, but UNXL is playing with some pretty heavy hitters right now and I wouldn't be surprised to see this happen. That would keep me in longer term than my plan is now.
Yeah, I like that Reed said that the only thing he can do is to prove it to be the wrong speculative position.
As redundant as it sounds, "execution" is the key.
I only invest in one or two speculative stocks at a time. It keeps things interesting and fun.
UNXL is loads of fun that's for sure. It's way more interesting than my other holdings (you'll never see me on the RAI boards HAHA)
It's definitely not for the guy with ulcers though.
This is turning out to be one serious test of patience and playing the manipulation to my favor the best I can.
We'll see how this turns out. We'll know definitively within two to three more quarters.
One thing with an orchestrated attack like this is that eventually there needs to be capitulation by the hedge funds who are financing the endeavor. It becomes increasingly more expensive to push this down as the price drops. The resistance of market forces is like trying to push a beach ball underwater, the farther it sinks, the more difficult it becomes to push it down.
As a retail investor I can take advantage of this and add shares while it is down. UNXL is no longer becoming just a story and is moving quickly into revenues. The smart hedge funds realize this and will cover. My take on the near future is that these hedge funds take long positions and we will see their bedmates (the analysts) change their tune in order to drive the share price back up. I can't wait for the "We were wrong and UNXL is actually doing very well" stories.
Riding volatility is not easy, but patience will pay off in the end. This was a very successful bear raid. It is doubtful future raids will work as well with successive positive news from UNXL. I especially doubt this if and when a PO is announced from Intel. With this raid it may light a fire under Reed to make this happen sooner than later.
Hedgies are holding 6M short shares. They need to cover. They will drive the price down with everything they've got. Other tutes are wanting in cheap. They will take advantage of the bear raid by buying up these inexpensive shares.
This will make for some pretty crazy volatility for a little while. This stock isn't for the weak of stomach that's for sure. Either way, this company is making progress and is growing fast which is putting pressure on those holding large short positions. I'm just in this for the ride for now. A bear raid isn't going to kill this company; they still have $46M in the bank.
Correct me if I'm wrong, but Lufkin has four plating lines that are operational to 100,000 units per year each.
My guess is that the PC partner will take all that capacity for now. Assuming a 50/50 split with Kodak that works out to just shy of $1.60 EPS going into Q1. Use whatever multiple you want; this stock is undervalued IMO.
Lufkin can do 400,000 units per year right now. That's roughly about $1.60 EPS assuming 50/50 with Kodak. I would be surprised to see the PC partner not want all that capacity. This stock is still very undervalued IMO. There will be a correction eventually.
I added yesterday too and it wasn't an easy feeling either. Today I feel like a genius. HAHA!
I'm just mostly lucky is all.
Reb, I was just sick and tired of hearing the same old #$%$ that this was a scam P&D company. Hopefully that's over for good.