From Mr Bruiser...
ARE YOU STILL MISSING THE POINT???
Everyone that is worried about the future of Trac, the price of the shares, or what Barry
Hertz may or may not have done wrong are definetly missing the point. So take a deep
breath, turn off CNBC, and just take a minute to ponder these few thoughts.
As stated before and by many others Barry Hertz's trading issues are completely
seperate from Trac Data and Trac's assets. It is his own personal trading account that is
in question. With that said let's take a real look at his situation.
Assuming that he does not have another penny to his name other than the value of the
approximate 45 million shares of Trac that he owns that would make is worth at around
$90 million dollars with a share price of only $2. So in reality his portfolio took about a
50% hit. Lots of others were hit a lot harder than this, its just the amount of money that
gets everyone in an uproar. Since he has other holdings and money the truth is financially
he will still live rather comfortably if this plays out for the worse.
What about the margin call? As usual there are a lot of stories that float around for one
reason or another. I like many of you have heard that the positions he was trading turned
against him and he is forced to cover, as well as the scenario that since he posted
25million shares of Trac as collateral and the price of Trac dropped it forced him to add
cash to secure the loan. Which is true? I guess we will have to wait and see what CNBC
or MSNBC have to say since everyone on there ALWAYS tells the truth! Right.
If in fact this came about due to a margin call then it must mean that he is still holding onto
whatever positions he traded on margin. I would have to assume that they have not
tanked in price otherwise he would just liquidate the positions to get off call. Why try to
cover a loosing position when your holding all of the string on a position like TRAC that
has not only the potential but has proven to make him a substantial amount of money. So
if he is trying to cover the margin call by liquidating TRAC then he must have some
additional equity somewhere.
Even if he comes up with the $45 million by selling TRAC shares financially he is still
looking far better than any of you that have posted negative statements regarding Barry,
TRAC, or any shareholders. The company is a great investment. Was a great one at $7
and beyond a bargin in the $2 range. If your upset because you lost money daytrading
TRAC then go look at the statistics on most daytraders and you will find that its not the
company its the trader.
As for the company. Nothing is different today than before the announcement of the 3 for
2 split. With a few exceptions. We have seen 2 software upgrades, the same amount if
not an increase in the advertising, trades are getting filled quickly, hosts online have
handled everything professionally and efficiently. Does not sound like the kinds of things
that a company would do in times of desperation.
Review the events in the market for yourself. Everything was going along at an incredible
pace, the government goes after microsoft and the ball started running. Panic sets in the
market drops harder and harder until margin calls are triggered. (Refer to my previous
post for my views on margin) This pushes the market even further and based on what???
What everyone is saying and feeling. If you are prepared for situations like this and don't
run for your umbrella at the first sign of rain you are probably making a fortune from all of
this.
That is the story with TRAC. Nothing is wrong with the company in fact there are a
tremendous number of postives. The split was announced several people bought in
hoping to scalp a few dollars and then the market started tumbling forcing TRAC and
everything else in its past down. Obviously splitting the stock in or around the $3 range
would have been ridiculous so the split was cancelled causing another sell off of TRAC.
Once again nothing about the company has changed only the shareholders changed.
If we did not see the market make record day lows do you think they would have
cancelled the split? Nope business as usual and a nice little 3 for 2. On that same note do
you think the issue of Barry Hertz's trading account or alleged loss of $45 million would
have ever come up? Another big nope!
Many of you may disagree and that is completely your right, but Barry Hertz is not an idiot.
How could the man build it up only to blow a large portion of it on speculation? My
opinion, the man knows EXACTLY what he is doing and while many may thing the are in
control he is really sitting behind the wheel. Even after the 25 million shares he still holds
controlling interest. Buyout or whatever its going to push the price up.
Where else can you get this much publicity and advertising for $45 million? By now nearly
everyone with any interest in trading stock has heard about this company and has taken a
look. It would cost a lot more than $45 million and more than 2 days to generate that kind
of awareness and advertising.
The company has been averaging around 750,000 in volume and today trades over
42,000,000 shares. For most of the day it had more volume than Cisco. You don't think
anyone else noticed that did you?
My real question is if he really is in the financial pickel that has been described. I am not
screaming conspiracy but what I am saying is that there was absolutely no real reason for
the press release regarding this debt.
WHY YOU ASK?
Well, can anyone name the four brokers that he owes the money to?????????? Final
answer?????
Of course not! As it has been stated over and over again they are not named. The press
release was from TRAC not these brokers. So if the people that are owed $45 million
dollars have no interest in bringing up the subject why tell the world you have a
"problem"? Could have been kept quiet and business as usual. So still no mention of the
creditors, no press release from TRAC or statement from Barry on the resolution.
If that is not enough for you to see this company as a steal realize that we traded 41
million more shares today than average, have had a severe drop in the market, severe
drop in TRAC price, and a lot of "bad press" on Barry...
AND TRAC HAS HELD SUPPORT AROUND $2
Get serious! This company has a great future in front of it whether Barry remains, a new
CEO is named, or someone else with a lot more bucks buys the company for the
potential it has.
Anyway you slice it there all positives.
Now turn back on CNBC, or MSNBC and let them fill your head with all of the bad things
you really want to hear.
Good Luck.
-Bruiser...That's Mr. Bruiser to you! |
