Share tips thread
Discussion
Esseesse said:
I've just read about GTAT. Remembered that someone had some shares at some point on here, at one point was considering some myself!
I still have some.I had already made a few thousand on it. (in and out twice)
Now it appears i have lost more than a few thousand.
I shall stay away from any high ledges for a while.
If there has ever been an argument for not putting all your eggs in one basket then GTAT is surely it.
Not sure what has gone on in the last two months when all was seemingly well.
Quite a few people around the place with stories (assuming they are true but why wouldnt they be?) of losing their whole life savings on it; some guys are retired so no way of re-couping really either. Why would anyone put all of their money in one company?!
What a s
tty situation.
Not sure what has gone on in the last two months when all was seemingly well.
Quite a few people around the place with stories (assuming they are true but why wouldnt they be?) of losing their whole life savings on it; some guys are retired so no way of re-couping really either. Why would anyone put all of their money in one company?!
What a s
tty situation.So chapter 11, whist the company can still operate the share value typically drops significantly. I think in this case more or less shareholders are done.
The shares will most likely be delisted from the Nasdaq and go to pink sheets, weather there's anything left when the company reemerges depends on if the company issues new stock after reorganisation or not.
If it does then technically its a new entity and old shareholders shares are useless unless the company gives an opportunity to exchange old stock for new stock.
If I recall right GM went through the same thing and when they reemerged and issued new shares the old shareholders had no rights to the new ones.
The story it seems is that when Apple lent Gtat that $578 million they had the ability to recall the loan. The deal was due to be repaid over 5 years starting in 2015 but Gtat's recent failure to meet performance requirements likely triggered early repayment.
They had approx $300 million in June and that was down to $80 million on Monday so not sure if that's is down to Apple being repaid.
But as said a lesson in risk management and also not to blindly follow analyst recommendations.
Goldman sachs 2nd April - upgrade price target to $24
Bank of America March - upgrade price target $21.50
Piper Jeffray even put out a note saying buy Gtat ahead of iPhone 6.
Interesting link about the deal.
http://news.investors.com/technology-click/100714-...
The shares will most likely be delisted from the Nasdaq and go to pink sheets, weather there's anything left when the company reemerges depends on if the company issues new stock after reorganisation or not.
If it does then technically its a new entity and old shareholders shares are useless unless the company gives an opportunity to exchange old stock for new stock.
If I recall right GM went through the same thing and when they reemerged and issued new shares the old shareholders had no rights to the new ones.
The story it seems is that when Apple lent Gtat that $578 million they had the ability to recall the loan. The deal was due to be repaid over 5 years starting in 2015 but Gtat's recent failure to meet performance requirements likely triggered early repayment.
They had approx $300 million in June and that was down to $80 million on Monday so not sure if that's is down to Apple being repaid.
But as said a lesson in risk management and also not to blindly follow analyst recommendations.
Goldman sachs 2nd April - upgrade price target to $24
Bank of America March - upgrade price target $21.50
Piper Jeffray even put out a note saying buy Gtat ahead of iPhone 6.
Edited by twinturboz on Tuesday 7th October 10:52
Interesting link about the deal.
http://news.investors.com/technology-click/100714-...
Edited by twinturboz on Tuesday 7th October 19:55
whoami said:
Whilst there will undoubtedly be some who have prospered, LSE is absolutely overrun with ill-informed morons.
Absolutely. Some would've made a killing but others who made a killing are now seeing much less of one. The price touched 230p a week ago but some people have stayed in until now (85p) when they could've gotten out. If it doesn't go back up, and I don't think it will, they have royally screwed themselves through utter greed.
Just looks like an oversold bounce, not convinced it's bottomed yet. vescaegg said:
Did you lose a lot in WRN Oakley? You seem to be massively angry at that one particular company?
Haha, no I didn't put any in it, I just get really annoyed when I see blatant bullstters trying to suck other people in, most probably so they can try and get out with minimal losses themselves leaving some other sucker holding the bag. That and the stupid conspiracy st really grinds my gears. photosnob said:
Mattt said:
I find it funny that people on those forums think they can manipulate the price just by their ramblings.
Kid in America years ago got jailed for doing it with yahoo forums. Was penny stock. But it is possible. All it takes is for one major analyst to read something and start have doubts to get some downward momentum
traxx said:
Obviously they hide their tracks, but its often thought that some very big hedge funds use forums to quickly spread negative stories about shares they have shorted
All it takes is for one major analyst to read something and start have doubts to get some downward momentum
I'll just leave this here...it makes interesting reading. I remember being told I was wrong on here a while back insinuating that these tactics happened. All it takes is for one major analyst to read something and start have doubts to get some downward momentum
http://www.washingtonpost.com/business/northwest-b...
CRB14 said:
traxx said:
Obviously they hide their tracks, but its often thought that some very big hedge funds use forums to quickly spread negative stories about shares they have shorted
All it takes is for one major analyst to read something and start have doubts to get some downward momentum
I'll just leave this here...it makes interesting reading. I remember being told I was wrong on here a while back insinuating that these tactics happened. All it takes is for one major analyst to read something and start have doubts to get some downward momentum
http://www.washingtonpost.com/business/northwest-b...
However, the vast majority of posts on sites such as LSE are inane nonsense.
Talk of rampers/derampers/MM's/shake the tree etc.
All crap.
CRB14 said:
traxx said:
Obviously they hide their tracks, but its often thought that some very big hedge funds use forums to quickly spread negative stories about shares they have shorted
All it takes is for one major analyst to read something and start have doubts to get some downward momentum
I'll just leave this here...it makes interesting reading. I remember being told I was wrong on here a while back insinuating that these tactics happened. All it takes is for one major analyst to read something and start have doubts to get some downward momentum
http://www.washingtonpost.com/business/northwest-b...
It is just the opposite side of the same coin IMHO.
Pump-and-dump is just as bad as a bear raid.
Although frankly creating a short squeeze is infinitely easier than a bear raid.
In this case it is a $300m mkt cap stock with 30% stock on loan and a 34% cost of borrow!!! Holy crap - no "very big hedge fund" would bother with this.
Also - biotech is VERY VERY RARELY investable for most legit funds. You simply can't value the IP unless you have an incredibly deep clinical knowledge of the drugs. Hence these tend to be niche biotech only funds doing the investment.
4% institutional ownership should tell you a lot about it.
People who go on about "short conspiracies" and the evils of shorting are totally happy to promote the crap out of their own products and stock.
It simply shows a total lack of understanding about "proper" investment decisions both long AND short.
It's symmetrical you morons.
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