This may help to explain the price decline. From WSJ Interactive:
Seec Down 9%; Investors Seen Concerned Insiders May Sell
By MARIA V. GEORGIANIS
Dow Jones Newswires
NEW YORK -- Seec Inc. (SEEC) shares fell 8.9% Wednesday, and one analyst suggested investors were selling because they believe company insiders might sell their shares soon.
Insiders at the company, which went public in January, had been locked up from selling shares until Oct. 20, said H.C. Wainwright & Co. analyst Alex A. Arnold. H.C. Wainwright handled the company's initial public offering of 1.5 million shares. The shares traded at 7 1/2 on Jan. 22, the day they opened.
At least 60% of the company's 5.1 million shares are held by insiders, and so market participants may have sold to get their profits before insiders' shares flooded the market and lowered the stock price, Arnold said.
Company officials weren't immediately available for comment. "There's nothing fundamental driving this," Arnold said, adding that he did not expect insiders to sell shares in large volumes anytime soon.
Seec is expected to be profitable in its second fiscal quarter ended September, following two consecutive quarters of losses, Arnold said. The analyst estimated that Seec will earn 2 cents a share on revenue of $2.4 million.
Seec shares fell 2 1/4 to 23 on Nasdaq volume of 81,000, compared with average daily volume of 67,200. |
