I think they just waited too long to hire an advisor and explore strategic alternatives. That is admittedly easy to say w/20:20 hindsight, but it should have been done a couple years ago before pursuing all the share offerings. Insiders also granted themselves way too much stock and, in the end, will be left w/little because of it. I have no axe here, sold mine in the $3s, just dumb luck after feeling I had been fooled more than once. Once should have been enough and I would have had an even better exit.
Not frauds, just opportunists who know when to sell an overbought security. The haircut they took to get out was well worth it and saved them significant further downside. Just look at where it is selling now. I think they are pretty smart and know what they are doing. Did small shareholders get caught in the crossfire? Maybe.The real question to ask is what the insiders WIlhelmsen and QVT (whose CEO is on the board) know. No one is in a better position to know then they are and they sold the stock.
Fool me once. These guys seriously jammed their own shareholders. They'll do it again when they need more money. So, no.
a huge hit. Never trust them again, no matter how many articles Harry Long writes saying what great guys they are. They are looking out for only themselves.
Perhaps the most credible and transparent I have ever seen,to --I simply have no words for it. "If you don't know who the sucker is at the poker table: it's you". Fool me once, good luck everyone I wish you the best here.
yes, good points stdvooh. It does feel like stops are getting taken out at whole number intervals. Not saying that is definitely happening, but sure feels like it. Some may be stepping aside just to see if the option on the Wilhunter get picked up next month, but that is probably not a major issue, just a little something for worrywarts to worry over. Investors are risk averse, before they are reward (or yield) -oriented. Need to see it stabilize a bit as the fall signals a little desire by someone to get out right now. Good values (and this is one) sometimes get even a little better.
My take is that last earnings report really ticked someone off, and just as obviously some buyer was waiting in the wings hoping that is exactly what would happen.
IMO $2.75 is still the magnet price to which this is attracted until this apparent massive volume liquidation changes hands. It has been going on since the last earnings report and is more volume than I can recall in many years in such a short time span. That such volume is occurring is probably a longer term positive as it is indicative of frustration selling. The minor spikes you see to the upside are probably someone trying to guess when the transfer of shares from frustrated to interested hands will be finished. It will pop significantly when that happens given the very small float (I'd guess true float is only 1.5 million shares or a bit higher).
If you go back and listen to the CC, you will realize management views this as a 5-10% annual revenue growth story not 10-15%, and that gross margins are expected to be at about historical trend of 45% plus a tad higher as more 3D scan products are introduced. Slow growth and slow margin expansion, but on the right trajectory. Share price should expand maybe 7-10% per year as employee, audit and other costs are offset by effective introduction of global cost controls. Stock could reach $20 per share by the end of the decade (about 10% CAGR including dividends). That is much better than current CD rates or even the expected 10-year bond return. Like it at $10 or slightly lower. Still being sold on all strength.
I like them. I definitely feel that w/all the customer delayed work that is due to roll over into Fiscal 2015, combined w/the new four-pronged corporate strategy, and giving them an extra two years, that they can produce the earnings of $0.43 per share shareholders should have gotten last year. I think that is a very realistic expectation by the analyst.
given the size of the decline for two days in a row on triple average daily volume today, I'm inclined to keep a little powder dry and see where it settles before adding. Seems a little urgency exists for the seller.