Hi June,
Don't know what's up. There are a couple of hypesters over on yahoo. Typical ALL CAPS hype and pipe, with no sources to back them up. I didn't read most of them.
Here are my guesses, in order of decreasing probability:
1) Manipulation by a few deep pockets. We've seen this before. A year ago last April I think, when we ran up to $3 and then right back down. Although, back then it was accompanied by hype from names like STOCKSUP98, etc. quoting $10 target prices. It's different to see the negative BS posts with a big jump. Could be a new strategy.
2) Rumors of an acquisition. I haven't heard any yet, but we've seen this before also.
3) Some kind of good financial news about Q3 on the horizon, or a big deal with a major player.
4) The move of Ty over to internet-only operations could be a signal of a new growth strategy, and internet-psycho buyers are in the process of revaluing the stock to higher levels.
That's all speculation. Comments welcome on any of the possibilities.
As for Software.com, the received ~$7M of a possible $15M on receivables of around $9M. They did an IPO this year and nearly paid off the loan, save about 500k. Interest rate was PR+1.5% for receivables based, and PR+1.75% for major equipment purchases. I don't think this is as bad a deal and Dwight, but it certainly isn't an open ended loan facility based on definite prospects for short-term growth of revenues.
Oh, and Dwight, I found out what popped BIQL up: the applied for a patent based on some of their H.pylori research. Hanging in around $4, which is a fair valuation, IMHO, for a small company making $0.44 a year from their base business. I think the application, along with the dividend announcement, just got them noticed by a few people. We shouldn't see major revenues from the patent for many years.
Little bit longer message than usual as of late. The system guys "upgraded" our software and my email has been broke since Thursday; hence, a lighter work load :-)
Cheers,
Rich |
