you have no idea what you're talking about.
the shares are going to $2.50 by Feb 1.
let's see what the big seller thinks at that time having unloaded at $1.90.
So I'm scaling in once again. At about 3:59 I see the bid/ask is something like 4 @ $3.74 x 1 @ $3.76. I place a buy for 1000 shares with a limit of $3.76 and I get the entire fill for $3.74. I'm not complaining, but it doesn't make sense - does it?
The first letter was sent a few days before the acquisition was announced, the very day Climaco resigned from PDII. It is quite obvious that DRAD was well aware that PDII had an acquisition very near at hand, and again, as I've said a few times now, DRAD would have wanted PDII with the cash pot and no debt...the first letter made that quite clear.
Knowing the acquisition was pending, DRAD was looking to minimally delay the closing so it could make an offer for PDII without the acquisition and debt it brought.
It's not that difficult to see.
You are one funny person.
Are you aware that Joe Biden is an admitted plagiarist, and yet he's the Vice President?
The past is the past, and Wall St. especially has an extremely short-term memory. These petty things you bring up from years past are nonsense. It's actually nothing more than the cost of doing business fr companies in this sector. The big firms are fined billions of dollars a year and as incredible as it is, they continue with business as usual.
You make it very clear that you've been burned in the past, likely making a bad investment (though you've claimed you haven't) and apparently you have great difficulty dealing with it.
The shares are going higher over the next 12 months - regardless of the garbage you continue to post.
by some posts on the board, Eberwein may be totally out - maybe he realized that it is a messed up company/management...or like me - that you shouldn't play with foreign companies as they can hurt you badly and there's not much you can do. anyhow, as I usually say - be careful with it.
You may remember this Eberwein play - shares fell apart on Friday when they announced a secondary share offering at $1.60/share (15% where they were trading prior day and 30% below where they were previous week) - so obviously that's where the shares have fallen to.
I have always refused to invest in foreign companies because I do not like the fact that they generally skirt SEC regulations and in general don't follow GAAP financial reporting standards and that I have a general mistrust for them. I also didn't like the financials (however much you can trust them) previously, nor do I like them now.
Maybe you might like it - shares have not traded this low in the past year. Dilution as a result will be about 20%. I'm not sure what Eberwein's current position is.
You don't know what DRAD thought it was worth.
Tax loss selling is going to hit between now and year end. A lot of people jammed in here at prices $2 and much higher throughout the year.
As I mentioned previously, entirely gamesmanship - the letter was specifically constructed to attempt to delay announcement of the PDII acquisition, allowing DRAD the opportunity to make an offer for PDII with no debt and a pot of cash. This is what Eberwein likes - a clean balance sheet with lots of revenue and a messed up management team that does not know how or want to cut costs and turn a profit.
I don't think DRAD has anything coming down the pike unless they are considering how they could make an offer and then immediately restructure to get rid of the $20 million debt just taken. Obviously first step would be terminating the entire PDII board and management. That would likely eliminate a good $5 million/year in expenses right away.
Best thing DRAD could do at this time is stand back and let PDII destroy itself.
Market maker taking them all down...every buy is followed by a sell of 100 shares at the bid.
I'm trying to keep my composure and just keep nibbling to lower my cost basis.
I keep telling myself I'm doing the right thing as opposed to chasing all the overpriced stuff that's pushing the market higher. I'm beginning to wonder what percentage of the Nasdaq index does Apple's weighting give it? If Apple shares fall 20% or 25% what does that do to the index? Just a last month Apple was at $95 - I don't really understand why it's gone 20% higher since. Now the talking heads are out there fantasizing about Apple being the first trillion dollar company - this is a sign to me that this bull is overextending itself.
In any case, I'll stick with my ULBI and other value stocks.
1. why would any retail investor exercise the rights? they can buy the shares in the market for 32 cents vs. 41.
2. After rights offering, there will be 284 million shares outstanding - that is a boatload of shares. I believe even more so then that a reverse split will be needed, otherwise shares are going to trade in a very narrow range and be very difficult to move higher. You're going to have so much liquidity that trading will just be games with people just placing their bid/ask out to 4 decimals and jumping in between each other to get 0.0001 better - like TGC. But there are just so many more shares out there - again, it's going to be extremely difficult for shares to move higher.
3. so company receives $58 million cash in this transaction - that likely buys them 18 to 24 months assuming they can decrease losses.
I just don't like the financial statements. I'm trying to see something positive in them, but I just can't.
I'm continuing to scale in to some of my others that are beginning/continuing to get hit with tax selling. Just nibbling because I have no idea how far down this crazy market might take them - all happening on miniscule volume...makes it hard to watch as the market maker toys with it. After every buy he immediately sells 100 shares at the bid, then lowers the bid/ask - what can you do? Same with all of them. I'm either laughing or shaking my head as I'm watching it happen before my eyes.
So, have a look again - you can get some bargains...you know I'm already in them:
FORD - now at multi-year lows, trading at cash value, no debt, below book value, proxy fight coming on Dec 30. I'm averaged in below the 52 week low of a couple days ago.
ULBI - just no liquidity in the shares. Company is doing better than the numbers suggest. Still has $1 cash/share, no debt, BV = $4.01, share buyback in place.
HSON - Eberwein's 10b5-1 for 375,000 shares was used up earlier this week. I'm surprised that he hasn't been buying more - or maybe there isn't enough volume. All of his buying on the 10b5-1 was at $3.40 and up. Once he stopped buying, shares fell apart.
These above three are sure to be January bouncers. I'm just trying to remain patient as I buy more on the way down.
BYI - FYI, buyout by SGMS is basically a done deal. Funding is done, regulatory approvals done - shares now just a couple pennies below offer price. SGMS shares up 80% since announcement.