Teo just doesn't seem to have his finger on NAVR's pulse.
With the 22K shares he sold in February, he did OK getting $15.500 to $21.000 per share. The big block (426,000 shares) were sold at $12.0625 to $14.250 in March.
Now look at NAVR's chart. This guy could have done much better if he held for just another week or so. Immediately after Teo sold his shares, the stock began climbing hitting its April high of just over $18 in less than 3 weeks.
Still holding 3/4 million shares, he is a long way from liquidating. His timing is such that he started selling shortly after the S-1 was filed March 3rd. Either he panicked when the stock price didn't take off like we all hoped it would, or he doesn't like the IPO.
His sale in June of only a meager 25,000 shares(at 10.625)only adds to the confusion.
Possibilities:
(1) He knows the NAVR price will hit the skids (with or without the NETR IPO) and wanted to lock in his retirement. He decides to keep some shares for insurance to ward off lawsuits for insider trading or just in case it goes through the roof. If this is the case, wouldn't the rest of management be bailing big time?
(2) He just wants out. Again he was able to lock in some good profits for his retirement and is willing to pass on future profits to minimize risks. And if he doesn't like the IPO, maybe he is on the "outs" with Paulson.
(3) He has expenses. Maybe he has acquired a new trophy wife that went shopping at Neiman's. Or could be something a lot more mundane but not as exciting.
One director bailing ship does not mean its sinking. It does mean that he is just as uninformed as the rest of the investors long on this stock. It shows he may not be as bullish on NAVR as we would like him to be. (I would suspect his directorship has already locked in a nice number of NETR options, so they are not affected by the sale of NAVR stock.) Management and directors pruning down their holdings to diversify their assets and holdings is not only normal, but also wise. An uninformed director would be another symptom of bad management.
Now if we get word that the remaining directors and Paulson, Chaney and various assorted bozos start selling in mass, not only are we in trouble, but they will be too. (Maybe someone needs to start a NAVR Lawsuit thread.)
I guess I'm not the best person to analyze insider trading. All I know is that the fundamentals of the company have improved nicely and per all "public" information the IPO is still progressing. The story has not changed. Yeah, I wish I waited and bought at $8.750, but I didn't. I'm long and holding. I'm taking a portion of my shares and trading as it seems fit trying to be at my "full" position when the market closes. This maybe a lousy investment or a great investment. I don't think I'll know for several weeks or so.
So that leaves me long, confused, and really pissed. (Did I mention stubborn? Not a virtue, a major fault in this market.)
Good trading to all this week.
B.M. |
