This is where we find out. If you though it was going to be easy, a no brainer, to buy SNTA at these levels I would argue that you are correct even if it goes down to $3.50. Not that I expect it to. There is a winner philosophy of playing the market and it requires conviction and confidence. If you are selling now because the price of the stock isn't going up presently then don't let the door hurt your behind on the way out. One more thing, get out of individual stock investing before you lose most of your money. I not only expect to make oodles of money with SNTA, I expect to make even more if it goes down.
I have learned that it is usually a mistake to underestimate the shorts. There is an excellent chance that SNTA will get tugged down in the near term. I hope so. I want more shares. If not I can live with my current position. At these levels, in spite of this being a bio-tech stock I now consider SNTA as a value play.
locke12 - your input on this board is always appreciated. I also don't know the answers with any certainty though I am a terrific statistics and probabilities person. In addition on second thought a legitimate company may want to manipulate it's price and they do all the time. They may underestimate earnings on purpose or lead shareholders to believe things are more positive than they really are. Either way insider buying is always a good sign especially when it is consistent and recent.
I am with apachefogg on this one. The market is a den of thieves but I see no reason for a legitimate company to play games to manipulate it's price. Now, the market makers are another story..
Another poster said it best. If the eastern states ban fracking then NG prices go up. It won't be banned in the western states. I don't overly concern myself with quarter reports. I think yearly. The trend line is up because the value is there.
syenfrout you are correct however an affiliate of Bruce is as good or better than just Bruce. If the affiliate has other owners than it is a vote of confidence from them as well.
I am enjoying the bio-tech sell-off. I will sell more non legacy positions to buy more SNTA should it fall to the the $3.80 range. I hope it does, that is how you made real money. I did it with HK, buying in the mid to low $3 range after buying in the low $4 range. I am hooked here and see no operation reason to let go.
Sure it was a no brainer to buy HK in the low $4 and and below range. That was the easy part. Reviewing the current material on HK now leads me to believe that $7 is not too far away and possibly a lot more. I have decided to continue to hold this position until at least $7 and possibly more. I know that there is money in trading but I don't want to fall off this money train before I make some serious bucks. I now I will try my best to do what I do best. Nothing...
I did not think I would buy more but I just did. Had to sell some CHK to do it. I really hated to sell CHK but even though it is a core position it is not a legacy position for me. Also picked up some more XCO on the negative article. Gota love those shorts!
Remember that the record cold was only for a small portion of the earth. We set record warm temperatures for most of the globe. It should be no surprise to anyone if we have a very warm summer and start next season with not enough inventory and $5 NG. Under this likely scenario SD should be selling for close to $8 and in selling position before the end of the year.
One more comment. When I bought UPL at $19 less than one year ago it was one of the most shorted stocks on the NYSE. It still is. After I have more than doubled my money I will thank the shorts for the opportunity of creating a mispricing in the market. My cost basis for SNTA is now in the low $4 range. My expectation is to thank the shorts after I triple my money. The shorts are not evil, they are your friends. They help create opportunities.
The massive short position almost guarantees an explosion to the upside on even moderately good. news. This is excellent trading information, however it is almost irrelevant for me. I buy based on what I perceive to be a value play and then set target or targets for selling. What it does confirm however is how manipulated this stock price currently is and that my belief in this value play is probably correct. Of course there is always the possibility that the company is headed for going concern and bankruptcy issues, however the intense insider and institutional buying, along with generally very positive news about the pipeline leads me to conclude that I will make a great deal of money here.
With me it is not yet a numbers game unless I see evidence that we have a viable company long term. I am still concerned by the reduction in revenue and the lack of management's ability to reverse it. Believe me I want back in to erase prior losses but of yet the only good sign was a Zack's attack. It just is not enough.
Going on a credit line to buy stock is not generally a good idea. If you must you can sell other positions you like to buy more SNTA. From your post one might think that this is your only stock. I hope not. But if so I would definitely not go on a credit line for a single position. I have learned unfortunately from experience that there is no such thing as a sure thing, not even SNTA. Keep all your eggs in this basket if you must, but going into debt may limit your patience and ability to wait for the stock's recovery. Don't get me wrong, it is most likely that SNTA will explode upward in the near term, but you never know.