HLIT, ANTC, and COX were all up sharply, though not wildly, on the ATHM IPO. TCOMA, surprisingly, didn't seem to do anything. Maybe it will be a delayed reaction? TCOMA, of course, is the one of these that benefited most directly by the IPO, as their value, on paper at least, was increased by 45% (or whatever % they own) of ATHM's inflated market cap.
I'd expect all of these stocks to react over the next few days.
Sometimes coattails take a few days to develop. The oddest one I was ever involved in was BARR, during the "bomb stock" craze. I picked that thing up at 3 and something, and was dumbfounded when it didn't move - everybody was focused on INVN. A week later, though - whoosh! Of course, by then I'd already sold it in disgust. :)
Not willing to be faked-out a second time, I then bought still-undiscovered ICTSF and just waited. It provided quite a ride.
(FWIW, of all of the bomb stocks, BARR has proven to be the most long-lasting, probably surprising everyone. That thing was 1/2 a few days before INVN first took off, and hasn't looked back.)
Why am I tossing all this seemingly-unrelated stuff in here? Because often the real profits to be found in a situation that you think has passed you by is discovering what other stocks with the same "theme" traders (particularly those that have just made a bundle on the one you missed out on) are going to move to next.
There are a number of possibilities here. My personal favorites are HLIT and COX. COX should get a big PR boost later this year when they roll-out telephony in Southern California. |
