To All, **possible short opportunitty***
LNDC...yesterday at close LNDC jumped from 3 to 10 closing at 8+ after a late day mention by CNBC. If it continues up early am might be an excellent short opportunitty as soon as buy volume subsides. Company has issued release stating they have designed a new seed coating for corn that will allow for single rather than dual planting. While interesting it is hardly earth shaking technology and years away from multiple applications. Also earnings look good but this is only because of massive tax writeoffs. They have been in business for 13 years and never been profitable. This is from their latest 10Q....
<em>The Company has been unprofitable during each fiscal year since its inception (1986) and expects to incur additional losses, primarily due to the continuation of its research and development activities, charges related to acquisitions, and expenditures necessary to further develop its manufacturing and marketing capabilities. From inception through April 30, 1999, the Company's accumulated deficit was $40.9 million.</em>
Three Months Ended April 30, Six Months Ended April 30,
1999 1998 1999 1998
--------------- ---------------- ---------------- ---------------
<S> <C> <C> <C> <C>
Numerator:
Net income for basic earnings per share $ 3,451 $ 2,609 $ 1,810 $ 1,023
Less: Minority interest in income of subsidiary (408) (134) (103) (40)
--------------- ---------------- ---------------- ---------------
Net income for diluted earnings per share $ 3,043 $ 2,475 $ 1,707 $ 983
Denominator:
Weighted average shares for basic net income
per share 13,252 12,728 13,231 12,717
Effect of dilutive securities:
Stock Options 546 969 563 750
Warrants -- 37 -- 20
--------------- ---------------- ---------------- ---------------
Total dilutive common shares 546 1,006 563 770
Weighted average shares for diluted net income
per share 13,798 13,734 13,794 13,487
Basic net income per share $ 0.26 $ 0.20 $ 0.14 $ 0.08
Diluted net income per share $ 0.22 $ 0.18 $ 0.12 $ 0.07
I will not take a short position here as I am fully invested where I want to be at this point. I just thought I might share this info for those who might be interested. Do your own due diligence and seek the advice of a professional broker/analyst if not completely comfortable making your own investment decisions. As always...
Best Wishes,
Swedelo |
