It's actually down less than 60% from its momentary high (and I mean "MOMENTARY" as it lasted all of about 2 minutes, tops) and about 50% from its stabilized high - it is also up 700% from its all time low. But I see now that your command of math is about as good as your command of business in general.
In any case, I will answer your question anyway:
Several reasons why ASTN is down 60% from its one-time high of 18: (i) market weakness in the stock trading and electronic stock trading sectors have caused most stocks, including some of the most respected companies in that sector, to dip about 50-70% (see, e.g., Schwab, Nite, E*Trade, AMTD, ITG, etc.), (ii) the market is generally very bearish right now, which has put a damper on stock buying generally, (iii) margin calls on people who bought in double digits caused selling into a very weak market, (iv) the Rose Glen private placement was misinterpreted as a negative by many, and led to some selling, (v) the stock was bought by short term traders on the rumor (VWAP launch about to begin) and sold on the news (VWAP launch has begun) again into a market with few buyers, (vi) many short term traders hoping to get a pop from VWAP launch were disappointed that the launch is phased, and that Phase 1 volumes are not meaningful, and thus sold into a market with few buyers, (vii) the company did not launch Phase 1 until late August when many were expecting launch by July 1, leading to selling, (viii) the dilution caused by the 1998 convertible equity line (12 Million shares worth, or more) finally took its toll on the stock price, and (ix) there has been a lot of short selling (which, in a weak market, will cause the price of a stock to drop).
Why ASTN is up over 50% from its low 3 days ago (and over 600% from its all-time low): (i) weak hands have been shaken out, margin positions have been covered or sold, and short termer's "selling" is mostly over; (ii) the market recognized that ATG is financially healthy (and nowhere near being in any kind of financial trouble, which renders notions like "GT0" ridiculous, your BS assertions to the contrary notwithstanding), eOX is now on the front burner with the Rose Glen funding, they are about to increase eVWAP volumes considerably as Phase 2 rolls out and things look pretty good in the short term and the medium term; (iii) deals signed with Belzberg, Sungard and McGregor (FIX) are being recognized for what they are -- deals with intermediaries that will add considerable liquidity to the system; (iv) China and Canada deals are imminent; (v) NMS listing is imminent; (vi) the price hammering taken by the stock was on relatively light volume (at least until it broke 6) and made no sense (just as the spike to 18 made no sense given when it occurred), and (vii) shorts started covering, which means buying.
Doc: It is you who are "so full of yourself" (not to mention a certain substance that mammals defecate) -- I think you may actually believe the crap you post here. For the record, I am up just under 100% at this moment, after 6 weeks of relentless price decline, which equates to hundreds of thousands of dollars on this investment, by hanging tough at points that make this particular moment in time seem like a cake walk. You have no concept of what "long term investment" means and obviously lack the vision to see where this is going. The shorts won the recent battles (although it never ceases to amaze me how you shorts always seem to box and cover just a sliver over the bottom, and establish your short positions at just the right moment at the top of whatever short term price trend occurs -- if I didn't know any better, I would suspect you were just making it up) but are going to lose the war big time. Let me put it this way -- a short of 10,000 shares at 18 which is covered at 5 puts $180,000 (or potentially a lot more than that) at risk for a total profit of $130,000 - a 70% return on "money at risk". A long putting $180,000 at $5 per share owns 36,000 shares -- if sold at 18, that equates to a profit of $468,000, or 260% on "money at risk". And the long pays long term capital gains on his profit, whereas the short gets taxed at full boat - short term capital gains. If the long goes from $5 to 0 to zero without selling, he is out $180,000. If the short goes from $18 to $50 without covering, he is out $320,000. The other way around, the short makes $180,000 (18 to 0) the long makes $3.4 Million (5 to 50 on 36,000 shares). Of course you masters of the universe always box and cover at just the right time, and move on, but you get my point. Nah, on second thought, I don't think you do.
MST |
