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Strategies & Market Trends : Roger's 1997 Short Picks

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To: Roger A. Babb who wrote (6342)11/1/1997 5:00:00 PM
From: DD™  Read Replies (1) of 9285
 
RB;

What do you think of the idea of shorting stocks that announce a secondary share offering? It seems that most all stocks that announce these secondaries suffer declines in price because of earnings dilution.

Example from Friday

Lightbridge Inc. (LTBG): The developer of products and services for wireless telecommunications carriers said it filed with the
Securities and Exchange Commission to sell 2.5 million shares. Lightbridge stock closed unchanged at 14 1/2.

Your thoughts are appreciated.

DD
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