This is going just as I expected. With an avg volume of just over 4M and about 23M short shares, there is a lot of covering to do.
I understand why people were short on SCTY when it was in the 40's and 50's. Now it is under 25. Nice trade for those short. But at some point a short has to decide when is enough profit. Yesterday's earnings provided enough initial panic to drive SCTY below 20. But the underlying situation with SCTY is not bad, as analysts are pointing out.
So what does than mean...a substantial portion of shorts cover and move on to other positions. Now 21.5 and crawling higher. This could go green with all the covering.
I am not saying SCTY will be green, but shorts will start covering positions. Shorts have had great success riding this down in the last 2 months. With analysts screaming that this drop is overdone, and without SCTY testing AH lows, it is obvious the worst is over today and shorts will take their profits and cover throughout the day.
I read that too. It may not be a big deal in the long run. Still, it is giving reason for some to bail. I think SCTY does have its challenges, but not to the extent of the move.
The stock price the last 2-3 months has indicated things would not be good and I thought much of tonights announcment should have been expected. This appears to be a flush of old investors.
Ok, I am back. I was in TAPM prior to last earnings announcement. I was dissappointed by its move after last earnings. Even though I felt TAPM 1M in revenue to get real attention. 728k in Qtr revenue was still great. But when it didn't move up I bailed.
I don't think there is doubt that TAPM is being built to be sold. The question is when. Part of that depends on continued growth and an appreciation of PPS.
I believe earnings is 2/11 or 2/12.
For a while I thought I was the one who died. I bought all the way down to low 40's, then got a call from my broker. I was in a low equity situation. They wanted me to lquidate or add funds. Did an ACH transfer. whew. Up $10 since then...
This move should surprise no one. IMPV is trading at a lofty valuation Forward P/E 159.97 and
PEG of 57.65. and its forecast loss for Q1 was double of the expected loss. When a stock like IMPV trades at lofty valuations, it needs to surprise on higher future EPS not lower.