the shorts are always all over it. last year when it was as high as a buck and a half, without positive earnings, it got killed. the float is a problem and a possible reverse split doesn't excite me. the industry will take to these speakers - by how much, no one knows. as for noise cancellation, while a big deal, ncti, in my opinion, seems to be going nowhere. they don't have enough revenue for me to buy a stake and with the shorts always drooling near, there are other stocks, which I won't mention because this is NCTI's board, that have the potential for higher returns with that kind of stake.
the good news is that NCTI is cheap. five years ago, it was this cheap though and for some odd reason, the stock doesn't move up. the consensus is that their R&D has been expensive and when they've needed an infusion of cash, they sell warrants which is ahead of the stockholders or they sell licenses without making a real future profit.
i'm going to sit this one out for awhile. the tech sector is in a sideways move - some of the best, outperforming stocks are getting hit hard - for no apparent reason -- so when it comes to NCTI, I have no incentive to buy.
i hope this explain my position. |
