Actually, I am now "warming" up to AETH, the book value (after eliminating good will) is around $12, those 500,000 shares that are being unlocked were sold a $16, not much of a chance that these will be dumped now, they were probably hedged by shorting against the box much earlier in the game. More importantly, the Chairman has started to buy quite heavily since June at prices that are close to today's price (many insiders bought ate in June as well, but none on the scale the Chairman did). I would buy this one with a stop loss just under $7.00. Cash on hand is $15/share and even if you pay back the $300 MM in debt (converts), you still have $7.5 in cash, I would say this is a value stock here, they have written off a lot of bad stuff and are operating on a positive cash flow basis. I was very negative on it in the 30' to $20', but now, it may be different.
Zeev |
