Johny,
You ask; "why the gap down today". One post referenced another class action lawsuit. Maybe, but I doubt it. One more on top of the many already outthere will not make much difference. They will likely be consolidated in any event. Federal courts will combine numerous lawsuits with same facts, issues of law and parties into one lawsuit.
My point is this. Read my earlier post from late yesterday. There are, in my view, insiders with information which has already been disseminated to a select few. Those select few are now selling. You and I won't know the reason until the stock has reacted. Remember, Wall Street is not and never has been a level playing field. Insider trading is rampant, notwithstanding the SEC's best efforts to the contrary.
Another point; I have heard it mentioned that OXHP has insurance with respect to the potential class action liability. Maybe so. However, has anyone seen the policies, read the policies and determined whether or not there is a ceiling on coverage and if so, how much? Don't forget, successfull class action litigation can result in a judgment of hundreds of millions of dollars. Are we to naively believe that one or more insurers out there are going to pay whatever amount Wiggins, et al. may ultimately be found obligated to pay shareholders? Until I read the policies myself I will not take it for granted that there is sufficient coverage to deal with the potential class action liability.
In the meantime, OXHP stock is dropping. And I believe it is because certain persons with inside information are bailing. There is always inside info. being shared with a small minority. If it were goold the stock would be going up. I hope I'm wrong. We'll see. |
