QUAD will give 80% back tomorrow. Up $2+ today. Down about the same tomorrow. That's the pattern.
I've been a long time owner of the stock and just collect and DRIP the dividends. It would be nice if the stock could hold onto one of these one day spikes.
This is not short covering. ABX and gold stocks in general have been going up for months. The shorts covered long ago. I still hear analysts and advisors saying...no, no, no I don't recommend gold. No one is seriously recommending mining shares. Some are, but the consensus is stay away. Not investable. Warren Buffet et al. never own or buy it.
But it's going up. It backs and fills, but it's going up and up and I suspect it will for some time yet. Methinks today is the beginning of an even bigger move. I think something bad is on the horizon. Something just doesn't feel right. Gold is a safe harbor. Gold shares are still technically way underowned and long term the charts say they are undervalued.
When everyone says buy gold. Gotta own gold. Buy the miners. Gotta own the miners. That's when it will stop.
Me? I'm just holding my ABX.
Why would a Chinese semiconductor company make a 6% "investment" in a U.S. semiconductor company that makes something that would enhance what they make? Just for investment? Really? Why?
Tsinghua probably isn't looking to buy LSCC. But they think someone else might. Maybe they are front running for another company. They own 6%, so another, bigger semi company knows they will have an ally in Tsinghua.
Chinese companies are not transparent. Is it possible Tsinghua is "colluding" with another to get LSCC? If LSCC is such a bad company why are they buying 6% of it? Just asking.
Dividend cut is already assumed. If it is the stock will bounce. If it is affirmed, it might not and head down until it is.
To me, a dividend cut or elimination would be a positive.
Read the article in Barrons from last weekend. STX's preannounce yesterday is not horrible. They are transitioning away from desktops to cloud drives. I believe if you take a position in this price range....and the dividend gets cut. The price will rally.
Huuuuuuge data centers are the actual internet/computer backups. That's the "CLOUD". The data doesn't just float around out there. It is stored. It is stored on hard drives. These hard drives are arrayed in big, blocky, warehouse like buildings. Tens of thousand of hard drives linked together in one place....in these data centers. Hundreds/thousands of data centers all over the world. More are being built every day. Tens of thousands of new hard drives being wired into these new data centers every day.
Who makes those drives?
Cramer is amazing. He loved VRX a year ago. Now he undermines them every chance he gets. Yet he continues to make excuses for Chiptole almost every day
CMG is going to end up like Boston Market ad Krispy Kreme...not to mention UGGS. They won't go out of business, but they'll jut be zombie stocks.
Any bump in CMG should be sold...or shorted if you're brave.
VRX on the other hand is way undervalued, even if it isn't going back to $100. My guess? VRX is worth $50-60.
How are they going to start mining with that paltry amount of cash? Have they built access to their site? Roads? Buildings? There's nothing up there. Where are the workers going to live?
Borrow money? Sell equity?
When? Or are they just going to string everyone along until Elon Musk shows up and buys the whole company?
They're trying to pin this on the CFO and he's saying, "uh, uh....not going to let you hang me out to dry." He's probably all lawyered up right now. I suspect, if there are any, he knows where the bodies are buried and he's using that leverage with the board and Ackman to get a nice exit package with no admission of guilt and probably a nice big "thank you for your service".
Yesterday's low was $473. If it breaks that you could be right. I actually see it wanting to get back into the $490's today.
What is the subscription price? Or is that yet to be determined. I see Thursday as the date. 35% below closing price? Today's? Or tomorrow's?
I see these rights are now in my account. I also see they are not trading. They appear to be priced and they are down .04, the same as the common. But no shares have traded. Right?
I wouldn't say it's quite a classic head and shoulder. I will say, however, that a nice bold move of the 20 dma above the 50 dma is quite powerful. For me the next target is to get above $6. $8 would be tremendous accomplishment over next 6 mos. I just like higher highs and higher lows at it stair steps it's way back to some semblance of fair value.
I think t's going to be Bernie vs. Cruz when it's all said and done. Bernie absolutely is going to beat Clinton. No question in my mind.