Just a theory, management said on press release that the test could have been done on portion of the reservoir that was oil or could have done on where it was a mix of oil and gas, they tested the oil gas mixture to test the flow on their equipment they said, read the press release it is there. The gas content scared the investors, but this could have been totally avoided and flow could have been all oil. Maybe management preferred lower stock price at year end , as the option exercise price is determined to match price of the stock at the time of the grant, and anyone would like the option grant price to be the lowest possible.
He wrote a piece that you can get by Googling KERX and his name together, he believes and rightfully so that most small cap biotech fail 90% of the time, so he pretty much bashes them all and he is correct more than 90% of the time, and if you are correct 90% of the time you make a name for yourself. He has been after KERX when the company was developing cancer drug, he then wrote a piece that KERX's drug will not sell because Dialysis centers will only use inferior generic drugs. KERX already has patent zenerx which extends to 2014. NCE is nice to have but not all that important in this case. If you read about AF's background in has been covering finance and technology, and recently he been working on Biotech.
I think he has motives to be saying negative things about this stock. 10 analysts cover this stock with all having buy on it, I doubt that none of them saw what Furestein claims here. Why would competitor's outcome be definitely rule what is going to happen to KERX, they have 2 different formula.
Morgan Downgraded NVDA in July at $14 range, stock dropped a few cents that day and then moved higher steadily to $16 range. Never mind these idiots.
These guys have received $100 million for a product that they say the have done the delivery for, for that they should have had 87 cents earnings this quarter, that headline would have jumped the stock. Why wouldn't management want to have their stock price go up? answer is they do not want the stock price to go up above what they are negotiating to sell the company for. If they are going to sell the company for $5/share, they need to have the market price way below that. Add to all of this, the layoffs, I think they are selling the company.
Why don't you enlighten us and tell us what the good news is going to be?
Look at GULTU the ultra deep trust up on unusual ly heavy volume, EXXI strong last few days, and even FCX with gold being down huge it is only moderately down, and it also has been strong lately. Good news on DAVY Jones! perhaps.