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From yesterday, "SFE looks poised and coiled to go through resistance, possibly very quickly..." SFE, $63 + 4 5/8. SFE is doing well today matching ICGEs move in terms of its contribution to SFEs NAV. What is good to see is the increase in volume the last 20 minutes as buyers are getting the ICGE-SFE connection, and technical types see SFE taking out resistance. A lot of trades crossing the CNBC tape on SFE the last 20 min. 5 minute chart confirms the big pickup in volume. Still no premium expansion. SFEs movement really is hostage to ICGEs, as it is the only volatile component of NAV, [that has meaningful, short term impact on NAV] and its contribution is now well over 50%. Kind of interesting to see a private venture [ICGE] that was part of SFEs portfolio a year ago, now commanding a higher value to SFEs market cap than their current interest in all previous rights offerings combined including Tellabs. A year ago, the market was assigning virtually zero value to SFE ownership of ICGE, as it was a private holding and SFE was trading pretty much at its NAV of previous offerings. A good argument for paying a premium over NAV, most of the time, as no one really knows how those current private holdings will do over the next year or two, once monetized. Nice day for Tellabs also. Mike |
