this stock is not a MOMO stock .. it corrected way too much to $3s on fears of forever losing money ..
it trades less than 1x revenues .. if there is any hope of profits, the stock could trade over 1.5X forward revenues ... which will put the stock price at $18 ..
the announcement today shows the path to profits is on the way ...
That's the bigger question!
Should the Q4 expected earnings are +ve or breakeven - then come Jan 2014, this stock could easily a DOUBLE from here!!
You definitely makes compelling arguments ...
But sacrificing some growth short term to right the balance sheet and focus on profits is not a good strategy for this company IMO. May be DANG has learned some lessons from other profitable eCommerce players and decided to sacrifice SOME growth for better margins and profits.
To me, it is better to weed out low margin LOSERS than having to make BOTTOM LINE losses.
From the report, it was clear that the new strategy IMPROVED the bottom line of DANG .. instead of losing 12 cents in Q3, they expect only 4 to 6 cents now!
You have a point .. but the growth is still strong year over year. Don't forget Q3 is a slow Q and Q4 is usually much better than Q3 ..
Chris - good seeing you.
You and I know well - what happens when the company turns to profits from losses - TSLA, NFLX etc. And don't forget VIPS too - as most of the gains steadily came quarter after quarter of improved margins and profits.
Tomorrow DANG may open negative but likely close positive by day's end. DANG's future has suddenly improved with the bottom line improvement .. If the margins continue to improve, Q4 may be a profitable turnaround point for DANG ..!
It could be positive tomorrow .. its about the future .. stock prices reflect the future ..
with announcement today, don't you think DANG wants to be profitable SOOOOOOOOOOOON - may be in Q4!
Come Jan 2014 - what do you think the price of the stock when it is expected to make a PROFIT!
Check CTB - you know why!
Sometimes mergers don't go through .. plus there is also an opportunity cost of holding. Max gains here are another 20 cents and losses could be large if it goes the way of CTB
He should call everyone in the Rolodex for partnership and Bo offers.
Everything should be done over this weekend ..
There is no need to wait for CRL in 2 months .. Time is NOW - Sell AMRN or Partner with a BP to make Vascepa beat Lovaza sales!
Either way AMRN has great asset in Vascepa but the management need to make good use of the asset to maximize shareholder value.
This WEEKEND is the best before stock price tanks any further
Which BPs could be potential partners or takeover candidates ..
The only way I see AMRN and BPs can make it a win-win is having a BP take over the AMRN asap!
Even GSK could now make a hostile bid if it wants (like what they did with HGSI shareholders)
Is there a bigger opportunity to a BP at this level? If AZN could acquire a much smaller fish oil company without any approved drugs for over $650M, then AMRN with approved Vascepa has a chance of being acquired for the same or better price.
Will Joe Z consider offers now ... Its time he redeem the situation and make the best of the situation AMRN unfortunately got in with ANCHOR rejection by Adcom Panel. Now there is no need not to partner or take any offers AMRN gets?
Those who wished to buy AMRN at $20 - why can't they buy it for $10 now
It seems ANCHOR is delayed until REDUCE-IT ..
And they can still market Vascepa for TG 500 (same or better than $1B Lovaza ..)
I decided to stay away from any bio competing with GSK ..
GSK can make FDA dance around and bring a negative vote by twisting the questions or raising some unexpected issues.
In case of DVAX, it was one former GSK consultant on the panel who led everyone to vote NO on safety of Heplisav and killed DVAX
This time with AMRN, FDA itself did change its stance / questions and led the panel to vote NO on ANCHOR awaiting results of REDUCE-IT .. and raised mineral oil issues which were not a problem before?
For me it is difficult to believe that FDA is not corrupted, lobbied, pimped, prostituted, bribed by GSK .. I just cannot believe it the way this whole thing played out!
If it does not open before the call at 7PM .. the call may be having substantial information?
Hmmm - what could that be then
In the past I saw stocks opening within 30 mins following press release ...
On AMRN - there is no status change on NASDAQ from T1 code - which means NEWS pending?
What more news is still pending??