CS First Boston was the only one saying "HOLD" everybody else was saying "buy or strong buy" with 6 month to a year target.
Vinik got out and now is clear he was in a rush going out, not getting ready for a second squezze. He had enough % holdings to see everything ,most probably he knew all along. Let's see if he comes back.
The analysts were just recommending buy so their clients could get out
on time (so much for trading on my own).
$100,000,000 and they could not figure out how to build a new plant? instead they went for cheap recycling. Tough one to believe. Even Zona was able to put out a big 2ry offering. Maybe they are pretty sure of what is coming and decided to go the cheapest and alone, not even J&J great manufacturing abilities were called along into play, maybe they did not want to give any further business away, at the shareholders shorterm expense, maybe the long longs will go to the promised land.
Do they really have the $100,000,000 or "the watcher" was right and is only $3,000,000? That could explained why to be cheap building the new plant.
Viagra was not the cause of the problem, Vinik could not care less about Viagra, he knew Vvus was sleeping with the enemy (Vvus was vvus enemy).
Meager ways of building a new plant, even a new McDonald outlet seems more expensive than the recycled plant(and FDA approved faster too).
I wish Michael Price and not Vinik was the one involved with Vivus.
Caveat: I am not blaming Vinik he just Vinik, Vidi Vinci.
Now we know why the UK approval hardly move the stock, the price was not built into it, it was above it, just that the ones doing the final gasping were the individual investors (like the recent Dow market recovery) and like the Dow there was not enough fuel to sustain the failing rocket.
Now administration is questioning viagra lack of peer review. There was some theory before that they could not question others drugs. But now that the mistakes are on their side they are firing and looking for targets. A little late for shareholders.
They sound better than Zona? Joe Podolski kept the price up with his new age lets talk without preparation style (not that I liked it), lets see if they can pass that test, it is heavy, about half a kilo. |
